Polygon (POL) from Yesterday to Today
Previously known as MATIC, the asset has been positioned in the market as POL as of September 4, 2024, with a new infrastructure upgrade. By 2026, POL, which has taken a leap forward, has become one of the most preferred networks in the corporate field, especially in DeFi. So much so that it has become a massive ecosystem (AggLayer) consisting of Layer-2 (L2) chains.
AggLayer is a component that Polygon first introduced in 2024 and refined in 2025 and 2026. This component allows Polygon to connect different chains, enabling users to easily switch between them.
What is POL’s Treasury Strategy?
Polygon Foundation CEO Sandeep Nailwal stated that a strong deflationary process has begun for the POL token. In this context, a strategy has been adopted to reduce inflation by 2% by burning a portion of treasury revenues by the end of 2025. While it is noted that approximately 1 million POL tokens are being burned daily recently, if this trend continues, 3.5% of the total supply will be burned annually.
The primary goal of the new treasury strategy is to position the POL token not only as a means of payment but also as a strategic asset that contributes to the growth of the ecosystem.
What is the Impact of the Deflation Strategy on Price?
With the deflation strategy adopted in the new year, 3.2 million POL tokens were burned on January 5. This burn was the largest token burn in the network’s history. This corresponds to an average daily burn of 1 million POL tokens, and if this trend continues, 3.5% of the total supply will be burned annually. Thus, the pressure on the price will be eliminated as the amount in circulation decreases. Therefore, this situation could pave the way for positive price movements.
What Will Be the Medium-to-Long-Term Impact of the Deflation Strategy on the POL Token?
Disclaimer
In recent years, Polygon has become one of many favored networks evolving into a large ecosystem of which the token is an essential part.
By the end of 2025, it has determined to pursue a deflationary strategy by burning much of its treasury earnings.
In evidence of this strategy’s influence POL made a strong comeback from its historic lows on the first trading day of New Year, also in part due to developments on the fundamental side.
The rebound put an approximate 90 percent gain on POL/USDT.
Statements from the CEO of Polygon can be understood as a focus on infrastructure priorities rather than short-term price talk.
Consequently, the increase in POL volume marks a departure from what is traditionally a speculative cycle.
These changes will help the ecosystem accumulate genuine values in the medium term and long run.
In this context, POL is shifting away from being a speculative asset and towards a global ecosystem. This strategic shift to make it possible will be implemented by end of 2025 at the latest. Only a major 90% rise in POL/USDT from bottom levels proves that the market is beginning to repeat this fundamental change.
In the medium to long term, POL’s future is constructed on a vision of supply destruction through a deflationary strategy. At the same time, the CEO’s statements emphasizing infrastructure efficiency are the clearest indication that the project is moving towards institutional maturity.
This demonstrates that the volume increase is driven by genuine usage demand instead of being temporary.
