With the presence of over a thousand public blockchains, the crypto space has grown into a multi-chain universe where each chain specializes in something. However, interoperability has been a major barrier in this area and that has made the market look even more fragmented than it actually is.
Nonetheless, Polkadot tried to solve this problem with its unique approach. Just a few days ago in the pole assembly, the Kusama Council passed Motion 310 and confirmed the start of the first slot auction in its network. These auctions would help select the parachains that would be added to Kusama’s relay chain.
In fact, parachains can interact with each other within the system and exchange data and assets and also connect to external networks such as Bitcoin and Ethereum via bridges.
Although Polkadot and Kusama (a sister chain of Polkadot’s platform) use similar codes, they are independent, stand-alone networks. Their independence is the main reason that paved the way for faster upgrades and experiments on their network.
According to Gavin Wood, the developer of the above networks, the auction for the first slot would last more than five days and the winner would be known by June 22nd. In total, the first set of five consecutive auctions will span a period of five weeks, after which the network’s performance would be assessed before moving on to the second round.
However, given the slot auctions, KSM has seen a 12% drop in the past 24 hours and down nearly 20% in the last week alone. Nonetheless, Gavin Wood continued to emphasize that Polkadot’s auctions would soon be successful after the successful completion of Kusama’s auctions.
“The launch of Polkadots Parachains is expected as soon as two things have happened: First, a full external review of all new logics should be carried out. Second, Kusama’s Canarian network should have demonstrated that the new logic worked in the wild by running at least one successful auction with crowdloans and hosting at least one functional parachain. “
According to a recent analysis by Santiment, Polkadot has decoupled from crypto markets, all thanks to development activities in its ecosystem. Additionally, a host of other events in space have kept DOT on the news lately.
For example, Coinbase’s professional trading platform recently added DOT, the native currency of the Polkadot blockchain, to its network. For a short period of time, Polkadot’s native token experienced a price spike, but was unable to sustain it for long. In addition, according to Messaris data, over 65% of DOT’s active offer has been staked out since May and only 30% of DOT is still in circulation.
However, It should also be noted that the explosion of DeFi and NFTs has presented the base layer of Polkadot as a “credible” alternative to the “expensive” and “congested” Ethereum network.
By and large, Polkadot has grown steadily and is expected to continue to grow in the near future. According to DigitalCoinPrice, the price of DOT is expected to rise by early 2022. The January 22 price would break the $ 40 mark and, according to their forecast, should be a “profitable investment”. However, as of press time, the ninth largest Alt was trading just below the $ 23 mark.
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