Happycoin.club - The team behind Polygon's layer 2 scaling solution (MATIC) has announced that it will officially rename its proprietary crypto asset following a major update.

The Polygon Labs blog reports that starting September 4, MATIC will be replaced by POL, which will be used as the native gas and native token of the blockchain.

Following the initial upgrade, POL will become Polygon's proof-of-stake (PoS)-based gas and staking token. In subsequent phases, the community can expand POL functionality to play a critical role in AggLayer.

AggLayer is a Polygon project that aims to unify liquidity.

According to Polygon Labs, MATIC owners on the Polygon network will not have to take any action. However, users who hold the token in Ethereum (ETH) may have to go through a migration process.

The token rebranding was first proposed in July last year as a means of accelerating the network's growth. A few weeks later, Polygon Labs founder Sandeep Naiwal explained that the proposal was part of the blockchain's transition to Polygon 2.0.

POL provides the benefits of multi-chain staking without the added risks of re-staking. With the Polygon 2.0 solution, the Polygon ecosystem will expand from a single network to an L2 (layer 2) ecosystem that can easily interact and share liquidity with each other.