Polygon Founder Addresses Dumping More Than $5,900,000 in MATIC on Binance

The Polygon Foundation did not deposit $6 million worth of MATIC on Binance, despite claims made by Lookonchain. Sandeep Nailwal, founder of Polygon, has clarified this misinformation on X social media.

Nailwal emphasized that Lookonchain has a history of mislabeling wallets, and this is not the first time they have wrongly accused the Polygon Foundation.

“One more time, incorrect labeling, Lookonchain. This is the second time this has happened. Please be careful about these tweets, creates unnecessary FUDs (fear, uncertainty, and doubt) for the community.”

During the last 30 days, two addresses that are believed to be associated with the Polygon Foundation allegedly deposited approximately $5.9 million worth of MATIC to Binance, according to blockchain data tracker Lookonchain.

However, Marc Boiron, the chief executive of Polygon Labs, disputed this claim and stated that Lookonchain made an error. Boiron clarified that the labeled wallet is not affiliated with the Polygon Foundation.

Despite this, blockchain research firm Nansen used data from previous transactions to link the addresses to the Polygon Foundation.

However, Nansen removed the labels as a gesture of goodwill, following Boiron’s public announcement. As of writing, MATIC is trading for $0.556 with a slight increase over the last 24 hours.

Nailwal, the founder of Polygon Labs, made sure to state the fact that the upcoming upgrade for Polygon’s native asset, MATIC, will turn it into a “third-generation token.”

The community is currently considering a technical proposal to rename MATIC to POL as part of the transition to Polygon 2.0, which seeks to establish the project as the “value layer of the internet.”

Nailwal said the following on the social media platform X:

“POL delivers the benefits of multi-chain staking without the added risks of restaking. With the Polygon 2.0 proposal, the Polygon Ecosystem will expand from a single chain to an ecosystem of L2s (layer-2s) that can easily interoperate and share liquidity with each other.”