• Polygon will phase out zkEVM by 2026 after years of inactivity and over one million dollars in yearly losses.

  • The company will now focus on its PoS chain and AggLayer to support stablecoin payments and cross-chain settlements

  • Polygon will continue zero-knowledge research through a new unit called ZisK which has no set launch timeline yet.

Polygon has confirmed plans to phase out its zero-knowledge Ethereum Virtual Machine (zkEVM) by 2026. The chain was originally acquired through the $250 million purchase of Hermez in 2021. Following the deal, Polygon renamed the network to Polygon zkEVM. 

https://twitter.com/WuBlockchain/status/1934795363933896715

However, the chain has remained largely inactive. It was never upgraded to support Blobs and has operated without major updates. The zkEVM chain continues to run at a financial loss exceeding $1 million annually.

Strategic Focus Turns to PoS and AggLayer

Polygon is shifting its priorities toward its Proof of Stake (PoS) sidechain and its cross-chain infrastructure layer known as AggLayer. The PoS chain will now focus on stablecoin payments and tokenized real-world assets. Meanwhile, AggLayer is being positioned as a trustless system for cross-chain settlements. These platforms are central to Polygon’s long-term blockchain strategy.

AggLayer version 0.3 is set to launch on June 30. This version includes improved features that aim to boost interoperability and user experience. Polygon PoS will also see performance upgrades. The chain’s Gigagas roadmap is now live on the testnet. Polygon expects the mainnet launch in early July, which will increase capacity to 1,000 transactions per second.

Organizational Changes at the Top

Polygon co-founder Sandeep Nailwal will now serve as CEO of the Polygon Foundation. The decision marks a shift from Polygon’s previous decentralized governance model. Nailwal has stated that a centralized structure is now necessary for clearer direction and better execution. Polygon Labs will continue to operate independently under CEO Marc Boiron.

Despite internal changes, the organization has stated that it holds a strong financial position. Polygon maintains a treasury with hundreds of millions in cash. This reserve will support future product development and limit the need for outside funding.

Zero-Knowledge Efforts to Continue Under New Entity

Polygon will continue its work in zero-knowledge technology through a new spinoff. This project, called Polygon ZisK, will lead research and development in the field. Jordi Baylina will head the initiative. However, no launch date has been announced for the new unit.

Polygon has confirmed that the sunset of zkEVM will not affect chains built with its Chain Development Kit (CDK). Custom networks like Immutable, which rely on Polygon’s tech, will continue to operate as normal.