- The first steps of the new proposed governance for Polygon 2.0 will be shared soon.
- MATIC is up over 10% in the last seven days and most metrics have been bullish.
Polygon [MATIC] recently announced an update that will play a crucial role in shaping the future of the blockchain. The development was related to the much-talked-about Polygon 2.0 upgrade, which will also change the fate of MATIC when fully launched. In fact, MATIC’s price action has already turned bullish in the recent past, thanks to market conditions.
Read Polygon [MATIC] Price prediction 2023-24
Polygoon 2.0 is now live
Polygon Labs revealed in its latest tweet that, as a result of community consultation, POL contracts will be live on the Goerli testnet.
POL contracts have been deployed on the Goerli testnet, and two proposals have also gone live outlining possible changes to the native token burning mechanism required for future upgrades.
Today, as a result of community consultation, POL contracts will be live on the Goerli testnet.
A big step to bring Polygon 2.0 to life.
Based on community feedback during the PIP governance process, PIP-24: Modify EIP-1559 Policy and PIP-25: Modify Total POL Offerings,… pic.twitter.com/li8OF0o3jC
— Polygon Developers
DevX Global Tour (@0xPolygonDevs) October 4, 2023
To start with, POL is the next step of the blockchain in renewing MATIC. It will house an ecosystem of knowledge-based Layer 2 chains by enabling deployment, community ownership and governance.
According to the official announcement, the PIP governance process also resulted in the release of PIP-24: Change EIP-1559 Policy and PIP-25: Adjust POL Total Supply, both of which were based on community feedback.
The blockchain stated that in the coming weeks it will share the first steps of the new proposed governance for Polygon 2.0, the core of which will be a new Ecosystem Council made up of thought leaders and technology experts.
MATIC’s answer is optimistic
MATIC’s reaction to the latest development looked positive as it managed to maintain its uptrend. According to CoinMarketCapMATIC’s value rose by more than 10% last week. In the last 24 hours alone, the token’s price has increased by 1.1%.
At the time of writing it is MATIC was trading at $0.5611 with a market cap of over $5.2 billion. As the price rose, so did MATIC’s trading volume, which is generally a positive development. Thanks to the price increase, MATIC’s price volatility peaked last week.
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MATIC remained popular in the crypto space last week, evident from high social volume. However, a bearish signal was Polygon’s Binance Funding Rate, which turned red.
This suggested that derivatives investors were not buying MATIC at a higher price, which could cause a price drop. From CryptoQuantMATIC’s Exchange Reserve increased, meaning the token was under selling pressure.
Source: Santiment