I read the messari report "State of Polygon Q2 2023" so u don't have to. I don't want to waste your time, let's go to the juice.

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Polygon Key Metrics Overview

Polygon 2.0

In June 2023, Polygon Labs unveiled Polygon 2.0, a network of zero-knowledge Layer 2 blockchains. It aims to become the "Value Layer of the Internet" and brings significant updates to protocol architecture, tokenomics, and governance. Polygon 2.0 is the future of the Polygon ecosystem.

What are the key feature of Polygon 2.0:

(1) (...) to enable unlimited scalability and unified liquidity through the integration of zero-knowledge (ZK) technology.

(2) (...) enables Polygon PoS to enhance its security, performance, and compatibility within the Polygon 2.0 ecosystem

(3) Polygon Labs has proposed a new native token, POL, as part of the Polygon 2.0 upgrade. The new POL token will be a 1:1 upgrade of the existing MATIC token and will inherit MATIC’s 10 billion supply as its initial supply. POL will enable holders to become validators for multiple Polygon chains and receive rewards for a variety of services. Finally, Polygon’s new token economic model removes the finite 10 billion supply cap on its native token. Instead, POL will switch to an inflationary model to incentivize validator participation and fund a community-governed treasury.

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Polygon's Market Cap affected by delistings and liquidations

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=> Polygon's market capitalization experienced a significant surge in Q1 2023, reaching nearly $14 billion in mid-February. Although it retraced some of the gains, Polygon closed Q1’23 with a market cap of $9.92 billion, marking a 50% increase compared to the previous quarter and outperforming the broader market. However, during the second quarter, Polygon's market cap declined to $5.82 billion, reflecting a 41% QoQ decrease. Despite the market cap contraction, Polygon’s market cap was still up year-over-year.

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TVL

Polygon's TVL experienced a challenging period during the 2022 bear market, with consistent declines in each quarter. However, in Q1 2023, the TVL stabilized, and this stability carried over into Q2 2023. Polygon concluded the quarter with a TVL of $1.09 billion, securing its position as the fifth-ranked chain in terms of TVL.

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NFT activity

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Polygon's NFT ecosystem has shown resilience during the bear market, seeing continued growth in Q2 2023. The average weekly NFT sales volume on Polygon increased by 42% QoQ, reaching $8.6 million. Open Sea remains the dominant NFT marketplace on Polygon, accounting for 84% of the total NFT volume in Q2. Magic Eden, which joined the network in Q1, secured the second spot with a 9% market share.

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Institutional

1. Franklin Templeton, one of the world's largest asset managers, launched its Nasdaq-listed OnChain U.S. Government Money Fund (FOBXX) on the Polygon blockchain, making it the first U.S.-registered fund to use a blockchain for transactions and share ownership.
2. Securitize expanded liquidity potential and access to Hamilton Lane's Senior Credit Opportunities Fund via Polygon, offering on-demand redemptions and a fully-digitized subscription process.
3. Brazil-based BTG Pactual, Latin America's biggest investment bank, launched its own stablecoin called BTG Dol on the Polygon blockchain, providing clients with a dollar-backed asset.
4. Mastercard is collaborating with Solana, Aptos, Polygon, and Avalanche to establish common crypto standards and create the Mastercard Crypto Credential.

Bonus: Polygon zkEVM experienced steady growth, showcasing notable collaborations and integrations with industry players. By the end of the quarter, it achieved 200,000 unique addresses

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Staking

The percentage of MATIC staked continues to gradually increase, reaching 3.84 billion MATIC (38% of the total supply) by the end of Q2.

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Source: https://messari.io/report/state-of-polygon-q2-2023?referrer=protocol-reporting-research

tl;dr

Despite the difficult U.S. regulatory environment during Q2, Polygon's financial and network fundamentals were unaffected. Polygon announced a host of new protocol updates and partnerships during the quarter, showing continued resilience.