POLKADOT COIN – What Is POLKADOT – How It Works – POLKADOT Review
If you want to know what Polkadot is, then you have opened the video you need. Polkadot is one of the most talked about blockchain projects in recent years. Let’s consider the main functions of the DOT token in the Polkadot ecosystem, where you can buy and store tokens. And we will also tell you how this cryptocurrency was able to enter the TOP-5 rating of the largest assets on the market in just 3-4 months. Don’t forget to like it and watch our other videos. We are starting, it will be interesting! (Polkadot is a blockchain platform)
Polkadot is a blockchain platform that unites all private and public blockchains, oracles and other high-tech solutions. Polkadot is built to make it easy to deploy and maintain blockchain applications of all kinds.
Key features of Polkadot:
The ability to transfer data and assets from one blockchain to another;
Almost instant deployment of the blockchain by anyone;
Unprecedented security provided by validators around the world;
Decentralized governance model supported by community members;
The presence of a native DOT token for managing the protocol, paying dividends and adding new protocols;
Polkadot is a unique project that, without exaggeration, can be called one of the most complex blockchain developments in history. But before telling the whole essence of this grandiose invention, it is worth mentioning where the idea came from and who came up with it. (The history of the origin of Polkadot)
The main developer of the platform is Gavin Wood, who has a doctorate degree and has extensive experience not only in programming, but was also among the co-founders of Ethereum.
It was Wood who invented the famous Solidity programming language used in the Ethereum architecture. In addition, this developer has founded the Parity and Web3 Foundation projects. In short, Gavin Wood is a very significant figure not only in the cryptocurrency world, but in the field of programming in general.
Working in the Ethereum team, Wood understood the shortcomings of this platform and it was his disappointment with this blockchain project that pushed him to the idea of creating his own, more ideal ecosystem. For its implementation, large investments were needed, and in October 2017, fundraising through ICO started. It raised $ 144.6 million, most of which was stolen by hackers in a hack.
Despite such a disappointing event, the developers did not abandon the project and, according to available information, the creators of Polkadot held three closed rounds to fund the future platform.
What is Polkadot? The project is a whole ecosystem, which is called the decentralized internet of the future. As a result of the fact that Polkadot is compatible with other blockchains, it is possible to exchange information with various blockchain projects within the system. (What is Polkadot?)
Like the Ethereum network, Polkadot has smart contracts and its own token inside, but unlike Ether and other traditional cryptocurrencies, the Polkadot system can be changed without hard forks and is managed by DOT coin holders.
The essence of the Polkadot system is that this multi-chain technology allows any data to be transferred between different cryptocurrency systems. For example, from the Bitcoin blockchain, you can transfer coins to the Polkadot system, and from it redirect funds to the Ethereum system. This is just a small example of the application of Polkadot in the cryptocurrency environment.
In practice, the use of the ecosystem can be much more extensive, because in this way both private and public blockchains can exchange any information. If we talk about the global goal of creating Polkadot, then the system allows to bring the currently scattered world of blockchain projects to a common structure.
A very interesting fact: the Polkadot architecture is one of the most complex in the cryptocurrency world and it is not possible to explain the mechanism of its operation in detail.(Polkadot interconnected blockchain system)
In simpler terms, Polkadot can be called a system of interconnected blockchains, which includes the main blockchain called Relay Chain and additional blockchains connected to it – parachains.
Each parachain has its own characteristics, depending on what functions are assigned to it, and all operations in each parachain can occur in parallel, which ensures high speed of the entire system.
The project is completely decentralized due to the fact that several user statuses with various functions are provided in its system at once:
Validators – play a role in checking and adding new blocks. Receive a DOT reward for their work. Validators change every 24 hours.
Nominators – have the ability to appoint new validators. By voting for one or another validator, nominators will send them a certain amount of DOT tokens.