The price of Polygon (MATIC), the 19th largest cryptocurrency by market capitalization, has seen an increase of over 25% in seven days. With this increase, it is trading at $0.53 (USD) at the time of writing.

This price movement makes MATIC one of the four best-performing cryptoassets over seven days (taking into account the top 100 cryptocurrencies and tokens on the market), as shown below.

Top 100 best performing crypto assets by market cap. Source: CoinMarketCap.

The rise comes amid a Bitcoin (BTC) rally that has driven the overall cryptocurrency market higher. However, this is not the only factor that may have caused the movement. In addition, a relevant event in its ecosystem is approaching, which seems to be received positively by its market.

MATIC is facing the countdown to its end

In just two weeks, on September 4th, MATIC will be replaced by a new crypto asset called POL. The token issuing company, Polygon Labs, announced this news just over a month ago when it received the consensus from the community to do so.

This is “a fully community-driven upgrade,” the broadcaster said when it made the announcement. It describes MATIC’s replacement as “the next-generation native token, designed to secure, align, and grow the Polygon ecosystem.”

“POL is an exciting and long-awaited upgrade, primarily because it further expands the utility of Polygon’s native token to reflect and empower Polygon’s vision as an ever-growing network of aggregated blockchains.”

Polygon Labs, developer of the Polygon network.

POL will be enabled to provide governance rights to users and offer features that improve the scalability of its network. Among them, it will allow a decentralized group of PoS (Proof of Stake) validators to provide security, resilience, and neutrality to each network that is launched in the Polygon ecosystem.

MATIC users on Polygon PoS will not need to do anything to have their tokens replaced .  These will be upgraded to POL automatically on the mentioned date.

On the other hand, holders of the asset on Ethereum, Polygon zkEVM or centralized exchanges (CEX), may need to take some action to update it.  Therefore, it is crucial for this group to review their communications or consult the team in charge on the platforms.