Claiming the “Value Layer” of the Internet
Initial details about Polygon 2.0 are limited, but the platform is asserting its position in the “value layer” of the internet—a concept that most blockchains, including Ethereum, aspire to achieve.
“Over the coming weeks, we will detail each component of Polygon 2.0, addressing topics like the future of the Polygon PoS chain, the utility and evolution of the Polygon token, and the transition to greater community governance of the protocol and treasury,” Polygon said in a blog post.
Emphasizing Community Decisions Outside the US
Polygon’s native token (MATIC) has faced challenges after being mentioned by the SEC in its pending Coinbase and Binance lawsuits. Subsequently, Robinhood delisted the token effective June 27.
In response to the SEC’s actions, Polygon highlighted its roots outside the US and the technical role of the MATIC token in staking to enhance network security on Polygon’s PoS layer-1 network.
“We are proud of the history of the Polygon network—developed outside the US, deployed outside the US, and focused to this day on the global community that supports the network,” Polygon tweeted. “MATIC was a necessary part of the Polygon technology from Day 1, ensuring that the network would be secure—and remains so to this day.”
From Matic Network to Polygon 2.0
Polygon, previously known as the Matic Network, conducted an ICO-style token sale in April 2019, raising $5.6 million. Subsequently, they secured funding through various seed and venture funding rounds, culminating in a private token sale that raised $450 million.
While US investors and firms, such as Kevin O’Leary, Galaxy Digital, and Alexis Ohanian’s Seven Seven Six, participated in the funding, Polygon clarifies that their fundraising “did not target the US at any time.”
Polygon 2.0: A Unified Network of ZK-Powered L2 Chains
MATIC does not currently play a role in Polygon’s zkEVM rollup, but with the rollout of Polygon 2.0, this will likely change. The blog post describes Polygon 2.0 as “a network of ZK-powered L2 chains, unified via a novel cross-chain coordination protocol.”
“For a user, the entire network will feel like using a single chain,” they said.
Empowering the Polygon Community
The announcement underscores the community’s power in determining the future of Polygon. “Only the Polygon community, who controls the Polygon protocol, has the right to accept and implement Polygon 2.0.”
Although Polygon Labs holds significant influence, the community’s ability to exercise governance control is still acknowledged.
US Regulatory Crackdown Implications
As the US regulatory crackdown continues, other projects are facing challenges related to decentralization and jurisdictional nexus.
“There’s no doubt that crypto will thrive. The only question is where,” Jake Chervinsky tweeted earlier today, in response to news of a16z’s new London office. “US policymakers need to think hard about whether this is the outcome they want,” he said.
Commitment to Web3 Projects in the US
Despite the policy headwinds, some teams, like the core dev teams of dYdX, Uniswap, Open Sea, Alchemy, and others, have signaled their intention to remain in the US.
“The core dev teams of dYdX, Uniswap, Open Sea, Alchemy, and many other top web3 projects are still based here in the US,” said dYdX’s co-founder Antonio Juliano. “There’s a reason for that. The US got tech so right all it has to do is be at least reasonable and it will win web3 too,” he said.
