What Is Polygon Blockchain?
Polygon blockchain, now evolved into Polygon 2.0, is a cutting-edge Layer 2 scaling solution that builds on the Ethereum network. With the introduction of Polygon 2.0, the platform has transitioned into a multi-chain system, providing even greater scalability and efficiency. This upgrade includes a network of Zero-Knowledge (ZK) powered Layer 2 chains, enhancing the interoperability and scalability of the ecosystem. Polygon 2.0 further supports a supernet structure, allowing seamless and secure cross-chain interactions. Additionally, the shift from the MATIC to the POL token reflects the platform’s commitment to evolving its governance and economic models. These improvements position Polygon 2.0 as a key infrastructure layer in the blockchain space, aimed at fostering a more connected and collaborative ecosystem.
Polygon 2.0 vs Polygon
The cryptocurrency world is very dynamic and rapidly evolving. Polygon 2.0 represents a logical evolution of the initial Polygon blockchain, supported by the community’s vote. Let’s take a look at the main improvements.
Polygon unique addresses chart. Source: polygonscan.com
Polygon vs. Polygon 2.0: Key Differences
Scalability and Architecture
- Polygon: Offers scalability via sidechains.
- Polygon 2.0: Introduces a scalable multi-chain architecture for higher transaction volume and more simultaneous DApps.
MATIC vs POL
- Currently, there is a 1:1 exchange ratio between MATIC and POL tokens, allowing for mutual exchangeability. You can convert your MATIC into POL and also perform the reverse exchange. However, in the future, the POL token is set to fully replace MATIC. The POL token is referred to as a new ’third generation’ token, known as ‘hyperproductive tokens.’
Interoperability
- Polygon: Interoperable with Ethereum.
- Polygon 2.0: Enhanced interoperability with various blockchain networks, including Ethereum.
Zero-Knowledge (ZK) Technology
- Polygon 2.0: Utilizes zkEVM validiums for lower fees and better scalability, a new approach compared to the original network.
Supernet Structure
- Polygon 2.0: Transforms into a supernet of ZK networks, facilitating interoperability and unified liquidity.
Polygon 2.0’s vision is to create the “Value Layer of the Internet,” aiming for a scalable, efficient, and user-friendly infrastructure.
Polygon 2.0 Protocol Layers
Polygon layers. Source: polygon.technology
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Staking Layer: Manages decentralization through a PoS protocol.
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Agg Layer: Facilitates secure, seamless cross-chain messaging.
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Execution Layer: Produces sequenced transaction batches (blocks).
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Proving Layer: Generates ZK proofs for all transactions.
POL: Polygon’s Native Token
While it’s challenging to definitively state the specific parameters of the upgrade from MATIC to POL, as development and voting are still ongoing, the main characteristics are already clear.
Uses of POL
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Transaction Fees: To fully interact with the Polygon blockchain, you will need the native tokens POL (or MATIC). They are used to pay for transaction fees within the blockchain. You can acquire tokens through transfers from friends or exchanges, or simply purchase them with a credit card directly within Gem Wallet in just a few clicks.
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Staking: Do you want to earn passive income on your crypto capital, or are you a crypto enthusiast looking to support the security and functionality of the Polygon network? Or perhaps you have both goals in mind? In any case, you will need POL (or MATIC) tokens to participate in staking.
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Governance: Polygon has established itself as a blockchain with an active community that regularly proposes, discusses the development path, and votes on decisions. Do you want to participate in Polygon Governance? In that case, you will also need POL tokens, and the more you have, the more influential your vote will be in the tally.
