Table of Content
- What Makes Polkadot so Distinctive?
- How Many Polkadot (DOT) Tokens Exist?
- How Secure is the Polkadot Network?
- Where to Purchase Polkadot(DOT)?
Polkadot Cryptocurrency is an open-source sharding multichain protocol that allows for the cross-chain transfer of any data or asset type, not only tokens, making a wide variety of blockchains compatible. According to Polkadot Network, this interoperability aims to create a completely decentralized and private web managed by its users and make new apps, institutions, and services more accessible.
The Polkadot protocol links public and private chains, permissionless networks, oracles, and future technologies, enabling these separate blockchains to exchange information and transactions in a trustless manner through the Polkadot relay chain (explained further down).
Overall, Polkadot’s native DOT coin serves three distinct purposes: network governance and operations, as well as the creation of parachains, aka parallel chains, via bonding. Additionally, Polkadot is made up of four main elements:
- Polkadot’s “heart,” assisting in the creation of consensus, interoperability, and shared security across the network of various chains;
- Parachains are self-contained chains that may issue their tokens and are tailored for particular use cases.
- Parathread: comparable to parachains, but with more flexible connection based on a cost-effective pay-as-you-go approach;
- Bridges: enable parachains and parathreads to link to and interact with other blockchains such as Ethereum.
Polkadot is an open-source project by the Web3 Foundation, a Swiss foundation aiming to facilitate a fully functioning and user-friendly decentralized web. Robert Habermeier, Dr. Gavin Wood, and Peter Czaban are the founders of Polkadot Network.
Wood, the president of the Web3 Foundation, is the most well-known of the three due to his industry prominence as an Ethereum co-founder, Parity Technologies founder, and inventor of the smart contract scripting language Solidity.
Habermeier is a Thiel Fellow as well as a seasoned blockchain and cryptography developer and researcher. Czaban is the Technology Director of the Web3 Foundation. He is now assisting in developing a new generation of distributed technology, bringing a lot of expertise from highly specialized financial sectors.
What Makes Polkadot So Distinctive?
Polkadot is a sharded multichain network, which means it may execute numerous transactions on many chains simultaneously parachains. Scalability is improved due to the parallel processing power.
Custom blockchains are fast and simple to create using the Substrate architecture, and they can be linked to Polkadot’s network in minutes. The network is also highly adaptable and versatile, enabling users to share information and functions like applications on a smartphone. Polkadot may be automatically updated without the need for a fork to add new features or fix problems.
The network features a sophisticated user-driven governance mechanism that also contributes to its security. Polkadot allows communities to adapt their blockchain governance depending on their requirements and changing circumstances. Nominators, validators, collators, and fishers all have different roles to play in helping to protect and sustain the network while also eradicating undesirable behavior.
How Many Polkadot (DOT) Tokens Exist?
Polkadot presently has a 1 billion DOT token allocation, after the network’s redenomination from a maximum supply of 10 million in August 2020. The redenomination was done only to prevent using tiny decimals and to make calculations simpler. While all balances were multiplied by a factor of one hundred, this did not affect the distribution of DOT or the proportionate share of holders.
How Secure is the Polkadot Network?
Polkadot’s mass interoperability through a set of standard validators contributes to the security of its many blockchains. It enables them to expand their transactions by distributing their data over several parachains.
The network employs the nominated proof-of-stake (NPoS) method to choose validators and nominators and optimize chain security. This one-of-a-kind validity method allows chains to communicate safely under the same rules while being separately controlled.
Where To Purchase Polkadot (DOT)?
Polkadot (DOT) trading is presently dominated by Binance, Huobi Global, HBTC, OKEx, and Binance. KR. You may now purchase cryptocurrencies such as Bitcoin and Ethereum with a credit card in the fiat currency of your choosing.