Polkadot (DOT), founded on 18 July 2015, is a sharded, non-homogenous multi-unit development that allows external networks and other similar blockchain creations to communicate with one another, creating an interconnected internet of blockchains.
Although it officially launched in 2020, Polkadot aims to be an absolute rock-solid creation that takes over as the next wave of consensus systems in the blockchain world and it is already in the frontline as one of the recognized blockchain ecosystems developers use.
The network’s primary job of the ecosystem is to build a network that has little need for functionality, little complexity to ensure it is simple to use, requires no additional or specific requirements before it can be accessed, and provide a stable base layer devoid of high-reward attacks.
Its future-proof and forkless feature allows it to upgrade with no hard forks. It can adapt to recent changes and update itself into the latest version of itself. Polkadot’s sophisticated governance system allows users and stakeholders to have a voice and partake in the coordinated and enacted actions of voting to improve the values of the community.
It operates on a Proof of Stake (PoS) mechanism that allows other blockchain developers to create their personalized ledgers, forming a system of similar parachains. The versatility of this mechanism gives developers the chance to decide the price, type, and speed of their infrastructure transactions.
Polkadot (DOT) is one of the few blockchain developments written in the programming language, Rust. Rust is a high-level, multi-purpose programming language designed for the safety and performance of the currency. It is like the C++ language and guarantees memory safety and recovery.
The Polkadot protocol is a development of the Web3 Foundation and operates on two blockchain systems; relay chain (which is the major network) and parachains. Web3 Foundation is a non-profit organization that focuses on the development of decentralized internet infrastructure and Polkadot is the first successful case study.
DOT is the official utility token of the Polkadot network and was added to the Coinbase exchange platform on June 2021. The first token sale raised a total amount of over 485,000 Ethereum currencies and the second raised an amount of s$200 million (first sale included). The DOT token gives its holders three privileges; governance, staking, and bonding.
The governance privilege allows users to take control of the financial and decision-making activities by providing a chance to vote and assign positions to stackers.
The staking privileges reward good actors with tokens while bad actors lose their tokens to keep the network secured.
Who are the Founders of Polkadot (DOT)?
The founders of Polkadot are Gavin Wood (the co-founder of the Ethereum Network), Peter Czaban, and Robert Habermeier.
The combined effort of this three personnel and the Web3 Foundation (which consists of over 100 developers) in conjunction with Parity Technologies led to the development of the Polkadot infrastructure.
Parity technologies were founded in 2015 and initially developed the node software for Ethereum before it was dropped for Polkadot. Polkadot development started in 2017 and the first set of codes was published on Github. In 2018, the company deployed two Proof of Concepts and in august 2020, the token transfers were officially launched.
What is Polkadot (DOT) used for?
Transfer of digital data and assets
Polkadot allows users and developers to transfer any kind of digital material (be it data, assets, tokens, or coins) between one another. It has a high level of interoperability that connects Polkadot to a wide variety of actively operating blockchains in the whole world.
It gives room for customization and creativity
Through its Substrate network, developers can create a custom blockchain in minutes without the need for a professional. The developed blockchain also receives an optimum level of interoperability and security provided by the Polkadot network.
What Is the Unique Point of Polkadot (DOT)?
The unique points of the Polkadot (DOT) are its blockchain system and operation. As aforementioned, the network has unique blockchain structures which are divided into the Relay Chain and the Parachains.
The relay chain is the main blockchain and it safeguards transactions accurately and gives users benefit as it allows them to customize their personalized blockchain. Although this safeguarding operation can only be done successfully through the computing resources of the relay chain.
The parachain serves as a minor blockchain and benefits from the main chain. These two creations allow users to perform a more private, fast, and secured transaction and also create blockchains that won’t disclose their information to the world.
The network also allows users to create three different kinds of blockchains; the relay chain, parachain, and Bridges.
The relay chain is the main chain that finalizes any transaction taken and is capable of allowing 1000 transactions per second.
The parachain is the custom blockchain that allows customers to use the computing system of the key chain to confirm their transaction’s accuracy.
It also assigns roles to new and existing users as to when a stake is made in the smart contract by locking the staked amount of digital tokens. Users can either be validators that validate data in the blockchain or nominators that choose trustworthy validators. They can also be collators that gather the node’s information or fishermen, the watchdog that reports inappropriate behavior to keep the order.
How many Polkadot (DOT) is in circulation?
There are approximately 983 million DOT coins in circulation and the token has a live market of $20.321 billion
Is the Polkadot (DOT) Network secured?
The Polkadot network is secured and uses a security network called shared security. Shared security or Polled security is when all the connected parachains in the Polkadot Relay Chain release a slot that will in return allow the users to gain economic security from the Relay Chain validators.
The type of security provided differs from chain operations, as a different security pattern is obeyed by bridge protocols. For bridge protocols, the system considers each chain as a sovereign entity, and its validators and economic security must be maintained.
In general, Polkadot tackles security issues by gravitating all the economic security incentives to the highly trusted Relay Chain; this gravitation allows the parachains to perform more effectively.
How do I buy Polkadot (DOT)?
For users who intend on purchasing the dotcoins to earn its networking, staking, and bonding privileges, there are steps to take:
Open an account with any crypto trading platform
DOT tokens can be bought directly or indirectly on crypto trading platforms. Some platforms offer DOT coins directly for sale, while some request you to get popular generic coins like Bitcoin and Ethereum and exchange them for dot coins. Depending on your choice of purchase, sign up to these platforms and provide the information (oral, written, or pictorial), provide a licensed identification card and picture.
Make your purchase
After successfully signing in and linking your financial accounts, fund your account using a fiat currency like dollars, yen, pounds, or euros. For platforms that allow direct purchase of dotcoins, type in your desired amount of coins and buy into your wallet or purchase a more popular coin with the same value as your desired DOT tokens and exchange.
It is recommended you transfer your coins to a personalized hot or called wallet to avoid theft, as the general wallet provided by the platform is unsafe.
Which Cryptocurrency Wallet Supports Polkadot (DOT)?
The PTPWallet platform supports many cryptocurrencies simultaneously, such as Polkadot tokens. Because of its speed, flexibility, and unique features, it has grown to become one of the most used new platforms. In addition, users can easily use PTPWallet as their main Polkadot wallet as it offers a simple and interactive interface, making it easy to navigate its system.