In July, Polygon proposed upgrading its protocol into a multichain ecosystem by changing practically all parts of its architecture and transform it into the Value Layer for the internet, a redesigned Polygon protocol architecture has been introduced. These technical upgrades extend to all parts of the infrastructure, including the token. Part of this upgrade will see the Matic token rebranded to POL, the next generation protocol token, designed to become the major tool for coordination and growth of the Polygon ecosystem and the main driver of the vision of the Value Layer for the internet.
In this new Polygon 2.0, participating networks will be allowed to achieve decentralization through shared validator pool supported by its staking layer. POL will serve as the catalyst for this layer, as holders can stake their tokens to validate transactions across multiple blockchains and earn multiple rewards across these chains, therefore, the “hyper-productive token” moniker.
Why Enshrined Restaking?
As explained recently by Polygon’s co-founder, Sandeep Nailwal, expanding from a single chain to an “ecosystem of Layer2s” requires a new token capable of sharing liquidity among the chains. Therefore, POL’s Enshrined Restaking functionality will allow users to easily restake their tokens across the various chains within the Polygon ecosystem. POL can natively be used to stake any number of chains and used to participate in any number of roles. Stakers can therefore, earn higher rewards with the same staked capital.
POL: An Innovation on Restaking in Two Dimensions
With the Enshrined Restaking, reliance on trusted 3rd parties is fully avoided, thereby creating fewer vectors of centralization and fully encouraging decentralization. Secondly, POL can be used for more than just securing chains, it can also be used to secure Agg layer, DACs, and many more.