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What Is Polkadot; Everything We Need To Know About Polkadot And DOT Ciphers

What Is Polkadot; Everything We Need To Know About Polkadot And DOT Ciphers

Polkadot Is A New Chinese Blockchain In An Ecosystem Dominated By Bitcoin And Ethereum. This Chinese Block, Which Was Launched In June 2016, Introduces Itself As The Next Generation Chinese Block.

Polkadot, Due to the lack of a central power to facilitate value transfer, Bitcoin faced limitations in scalability and interoperability, leading to the emergence of Ethereum and its flexible network. Thus, in addition to creating a decentralized system for building and executing applications without intermediaries, Ethereum created an ecosystem for easier value transfer through smart contracts.

After Ethereum became famous, this digital currency also faced network congestion and high transaction costs. Polkadot and many similar projects came into being claiming to solve these problems, but its growth rate sets Pulcadat apart. With more than four thousand Crypto in the world, digital currency Pvlkadat just a few months after its launch, the ten Crypto premiere took place and says its founder, Gavin Wood (Gavin Wood), the last step as well as the launch of chains parallel (Parachains) This digital currency is done.

What is Polkadot?

Gavinwood, the co-founder of Ethereum, has created Polkadot to secure value transfer and share each Chinese block’s unique features. The Polkadot network can be considered a response to the Ethereum 2 network upgrade, which aims to become a heterogeneous and fully scalable network that creates multi-chain technology. The Web 3 Foundation, a Swiss organization that runs the network, considers Polkadot the next generation of blockchain.

How was Polkadot formed?

Founders of Plekadat

Polkadot was created with White Paper, which Wood published in 2016. Gwyn Wood, a former CEO of Ethereum, rose to fame by writing the Solidarity programming language for Ethereum at the foundation.

During his close collaboration with Vitalik Butrin in 2015, he became disillusioned with the long delays in Ethereum 2. A year later, he left the project to make a separate version of Ethereum, then founded the Web 3 Foundation. The foundation focuses on the research and development of decentralized technologies, including Polkadot.

Continued development of Pvlkadat, Wood with Jutta Steiner (Jutta Steiner), former head of security at the Ethereum, Preity technology (Parity Technologies Ltd), was established.

Polkadot Network Token (DOT)

The three main purposes of a  useful Polkadot network token are:

  • Sovereignty: The Polkadot network is decentralized; That is, it does not have a single unit in charge of control, and decisions, including the determination of the payment structure and changes to the protocol and planning to add parachutes, are made with the consent of all members of the network. The authority in return for a toe hold off ( hold long-term ) and not just a token will be available to members of the network; A privilege that only other miners get on other platforms.
  • Operation: DOT token holders play an important role in maintaining security and undermining potential attacks and network performance. In addition to active participation, they are responsible for validating transactions in parachutes on a platform based on a stock-proof algorithm.
  • Bail and Payment: Because the Polkadot network mechanism is based on a stock-proof algorithm, network members will need to bail out some tokens to validate and add parachutes and be given tokens in return for their participation.

Polkadot Structural Technology

Polkadot works differently from the Ethereum network to become a heterogeneous Chinese blockchain network. This network uses parathreads connected to the main Polkadot relay chain. This chain is also connected to external networks through the stairs in the platform.

Parachute

Polkadot includes the following chains:

Relay chain

The relay chain is the heart of the Polkadot protocol and is responsible for network security and consensus, and inter-chain interaction in the Polkadot network. This blockchain chain is the main network, and the transfer of value and transaction of blocks is done here. In this chain, fewer measures are taken to increase the speed of new transactions than other Polkadot chains. These include member engagement and parachute auctions, and the NPoS consensus. For example, the relay chain does not support smart contract transactions. According to a report in 1399 (2020), with this unique method, the processing speed in Polkadot estimates at one thousand transactions per second.

Parachains

Parachutes are the only independent blockchain on the Polkadot platform. They can enforce according to their own rules and regulations. Because they are heterogeneous, they can respond to various functions such as decentralized finance ( Defi ) or high-cost transaction optimization. These custom blockchains are designed to achieve specific goals and solve specialized problems. They use Polkadot computing resources to verify the accuracy of network transactions. Parachins can develop their own governance systems using a common security feature with Polkadot. Projects to lend a parachute to Polkadot must lend at token relay chain auctions.

Parathreads

The parachutes have the same functional difference as the parachutes. The difference between these chains is in how they are connected to the network and their economic model. In fact, parachutes have a fixed registration cost and are based on the desired payment model and not necessarily on token collateral, and are primarily suitable for projects that do not require constant access to the network. These chains may be cheaper at first; But due to the lack of auctions and the cost of the new blocks produced, they can cost more in the long run.

Bridges

Bridges provide interoperability for Polkadot, through which Polkadot allows parachutes and paratroopers to communicate with external networks such as Bitcoin and Ethereum and exchange tokens without the need for an intermediary exchange. Polkadot tries to extend the bridges to other blockchains in its ecosystem to exchange tokens without the need for a central power license.

NPoS Evidence Algorithm

Polkadot uses a more modern Ethereum consensus mechanism called the Algorithm Evidence for the nominated stock. This algorithm is designed to maximize the shared security of the network so that the malicious person cannot interfere in it.

Evidence of nominated shares for those who have secured a DOT token on the network provides the opportunity to validate the network’s best service and security providers. NPoS allows candidates to recoup lost capital if a malicious person is identified in the system, unlike the stock-based algorithm.

Substrate Framework

The substrate is a software framework developed by Parity Technologies for creating and optimizing blockchains with specific applications. Polkadot uses the platform framework as part of its underlying technology and allows developers to create targeted blockchains without the need for much time or experts in the blockchain.

In fact, Substrate is a toolbox of ready-made functions and components that saves people time by allowing them to focus only on their area of ​​expertise; For this reason, development teams can quickly build smart contract platforms using the Wasm protocol (Web assembly programming language) in Substrate.

Why do some investors believe that Pulcadat can replace Ethereum?

Ethereum’s popularity has led to the high cost and high cost of transactions on its network, which has led dissatisfied users to look for other options. The founders of Polkadot used the experience of the Ethereum network to develop the Polkadot ecosystem. While Ethereum 2 is expected to address this digital currency, some believe that Polkadot has provided a more appropriate and scalable solution. It seems easier for developers to create and deploy new projects quickly and cost-effectively in a heterogeneous, independent multi-chain multi-chain network.

Polkadot’s idea of ​​the Chinese blockchain ecosystem is consistently important to developers seeking to be seen in the Chinese blockchain community. The ready-to-use drag and drop template also allows teams to build a new blockchain network in minutes using the previous ready-made blockchain network instead of building the entire blockchain network from scratch.

With the interest of developers and investors in this performance upgrade, just four months after releasing the DOT token in September 2020, the value of Pulkadat soared and became the seventh top cryptocurrency with $ 3.7 billion in market sales.

Plicadat table

At the end of 1399, at the same time as Ethereum grew by 50%, Pulkadat experienced a growth of 88%. In addition, people prefer to buy a fully digital currency instead of buying part of a digital currency. This will be possible with a lower price of Polkadot tokens from Ether.

Comparison of Polkadot and Cardano

Polkadot and Cardano have many similarities in some areas: Cardano is one of the digital currencies experienced unprecedented growth since its inception. This Chinese blockchain digital currency is based on a stock-proof algorithm, and individuals will need to post collateral in the form of cryptocurrencies to verify transactions.

Its founder, Charles Hoskinson, is also one of the founders of Ethereum and has a completely decentralized network. With the shoulder-to-shoulder movement of Polkadot and Cardano, they are both among the top cryptocurrencies in the world. What makes Cardano unique is its two-tier architecture for more flexible smart contracts.

In contrast, blockchain connects separate blocks to a single network called the “blockchain Internet.” Interestingly, both platforms have similarities to Ethereum.

These two cryptocurrencies have a lot of potential for merging blockchains. If Cardano can reduce the cost of his transactions, it can be considered the next ethereum. Also, if Polkadot builds more stability in its network operations, it may see an influx of developers and investors to its platform.

Pool (Volt) Polkadot

Currently, there are many volumes for Polkadot digital currency. Before choosing a Polkadot wallet, you need to determine which type of wallets support Polkadot are right for you. In the image below, each of these types of wallets is mentioned, along with their characteristics.

 

As investors become more interested in Polkadot digital currency, many volts support these cryptocurrencies. Here are some of the top wallets:

Parity Signer 

Volt Parity Signer is a mobile and open source volt. This volt is available for Android and iOS operating systems and uses QR codes to perform transactions. With this volt, you can access several private keys. Volt Parity signer can download from its official website.

Polka Wallet

Polka Wallet supports many cryptocurrencies, including Polkadot, and is a mobile wallet for the Polkadot ecosystem. The user interface of this volt has color charts and is available for both Android and iOS platforms through this link.

Trust Wallet

Trust Volt is one of the well-known volts in the world of digital currencies and supports many cryptocurrencies. This mobile volt can be named the best Polkadot volt. Trust Volt runs on Android and iOS operating systems and is officially supported by the large Binance exchange.  You can get this volt from the official Trust Wallet website.

Math Wallet

In addition to Polkadot, it supports Bitcoin, Ethereum, and ERC20 tokens and is a mobile, advanced, and add-on. Math Wallet supports Android and iOS operating systems, and in addition to its lower version, there is also a browser add-on version for use on PC. In the Volt application, there is a section called News, through which you can follow the news related to the world of cryptocurrencies. To get Math Wallet, you can visit its official website.

Ownbit Wallet

Ownbit is another mobile wallet that, in addition to Polkadot, can store all ERC20 tokens. You are given a new address every time you receive an address in this voltage, and the previous address is deleted. Ownbit is available for Android and iOS operating systems, and you can download it through this link.

Safepal Wallet

Safepal is a highly secure piece of hardware for storing Pulkadat. There is a small color display in the corner of the device to display information, and authentication to confirm transactions is done through fingerprint scanning. In Iran, you can buy this volt through the iransafepal.com website.

Buy Polkadot

Since the launch of the Polkadot network, many cryptocurrency exchanges have added it to their list. Some of these well-known exchanges are:

  • Huobi Global
  • Binance
  • Kraken

Polkadot vision for the future

Polkadot is working to be more successful and is set to continue developing China’s blockchain network. Still, it is not the only platform focused on improving scalability, governance, and interoperability. If trading in bitcoins and older currencies, such as buying classic Ethereum, is not attractive enough, Pulkadat could be a good option for you.

Plicadat prediction

Most digital currency market analysts are optimistic about the future of these cryptocurrencies, considering DOT’s rapid growth and assessing it as improving. In addition, given the large fluctuations in the digital currency market, the future of the Polkadot cryptocurrency and its value in the market can not predict with certainty.