Polygon CEO to burn 100 million POL tokens, price tests key support

Technical support and price movement

As of September 19, POL trades near $0.104, according to CoinMarketCap, slightly below its previous day’s close of $0.1069. The recent price action shows POL rebounding from the $0.0979 level seen on September 17, although a modest pullback has followed the recovery.

Alpha Crypto Sign, a crypto analyst, emphasized that the token’s daily chart reveals strong buying interest at the intersection of the rising trendline and horizontal support. The analyst described this area as an important base, suggesting that continued defense at this level could open the path to targeting recent highs.

CoinGecko’s records show that POL closed at $0.0902 on September 1 before moving above $0.10 later in the month. It reached $0.09799 on September 17 and $0.10718 on September 18, marking a short-term recovery followed by consolidation.

If the technical structure holds, attention is likely to turn to the highs reached earlier this month, although POL will need to remain above current support levels to trigger any sustained upward momentum.

Polygon to burn 100 million POL tokens

Polygon Foundation CEO Sandeep Nailwal announced that contracts have been prepared to permanently burn 100 million POL tokens, pending final Security Council approval before they are deployed to mainnet. The contract has undergone testnet deployment and, once signed off, a community member will be able to initiate the first burn event. Further burns are scheduled quarterly, targeting amounts of POL accumulated via network fees.

The fee collection mechanism, as outlined by Nailwal, has already amassed 121 million POL. Of this, 100 million tokens are slated for burning in the inaugural event. This process is designed to lower the overall token supply and could alter the dynamics of network activity’s impact on POL’s total supply.

POL token burning contracts are ready, and the Foundation aims to start by removing 100 million POL from circulation, with further burns happening every quarter from fees generated by network activity, pending Security Council signatures.

Rather than simply increasing transaction numbers, a portion of the POL collected through network usage will now be systematically removed from circulation.

Nailwal also shared Polygon’s 2026 year-to-date income at $24.5 million, compared to Arbitrum’s $8.41 million and NEAR’s $5.6 million. He noted that these are topline figures from his provided statistics and not an independent comparison of network economics or operations.

Mini dictionary: Polygon Foundation, a nonprofit organization supporting development, maintenance, and community governance for the Polygon blockchain ecosystem.

Upgrades and expanding use cases

Polygon recently expanded its transaction performance, increasing capacity to 5,000 transactions per second thanks to a June upgrade that raised the block gas limit to 160 million and maintained 1.5-second block times. The Foundation stated that these changes were developed to improve throughput without raising transaction fees.

The ecosystem now emphasizes real-world financial use cases, including payments and stablecoins. The Polygon Open Money Stack integrates fiat on and off ramps, multi-chain wallet features, and cross-chain payment routing to support broader adoption.

In September, Polygon partnered with stablecoin company Stable.com to enable direct fiat transfers to banks. The platform also completed a SOC 2 Type 1 security audit of its Open Money Stack, adding a further layer of trust for institutional and retail users alike.

Polygon’s technical upgrades and new integrations with fiat and stablecoin infrastructure underline its goal to broaden blockchain payment use in real-world applications, further increasing utility for POL tokens within the ecosystem.

In September 2024, POL replaced MATIC as the native gas token for the Polygon PoS network. The Foundation is actively expanding applications for POL throughout its platform.

Outlook and upcoming catalysts

The immediate POL price outlook depends on whether the token can stay above its rising trendline and key support. Maintaining this structure may create the conditions for a further move upward, especially if the proposed token burn begins as planned. The timing of the 100 million POL burn could be a significant catalyst for both price momentum and sentiment in the near term.

Polygon’s efforts to boost transaction throughput, upgrade payment functions, and expand the Open Money Stack highlight ongoing network development. However, analysts caution that price performance ultimately depends on market demand, available liquidity, and the ability to overcome resistance levels. A defended technical base, declining circulating supply, and growing network activity put POL at a crucial junction for future performance.