Bitcoin, reaching its all-time highs has further tickled the interest of people in investing in cryptocurrencies in their potential lucrative. One of those new cryptocurrencies making a big entry into the crypto space is Polkadot.
Polkadot can be described as the network forming a linkage with every other network via connecting dots. a network that connects all other networks by connecting dots. It is also known as a multi-chain network with its connectivity feature that is in converse to Bitcoin, which runs on its blockchain network.
With the ultimate goal to serve as a bedrock for blockchains to function on, the operation of Polkadot takes a semblance of HTML enables browsers, servers, and websites to communicate with each other.
Launched in 2020, Polkadot is one of the newest cryptocurrencies with a myriad of unique technical features to ensure its primary objectives are achieved.
The polkadot network is built with two different blockchain types. These are a primary network (relay chain) and a user-created network (parachains). Parachains can serve different purposes, thereby feeding into the main blockchain.
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History Of Polkadot
Polkadot was created by the Web3 Foundation, which is operated by a co-founder of Ethereum, Gavin Wood. The initiative for this project stemmed from the need to have a platform that could run several blockchains in a decentralized while enabling network advancements. Polkadot is the result of that preconceived idea, enabling adequate communication between blockchain networks.
Polkadot Coin Structure
1. Relay Chain: this is the chain that bonds all individual Polkadot chains. Often referred to as the base Polkadot chain, interoperability concerns are fixed across chain linkages.
2. Parachain: these are parallel chains flowing across the Polkadot network. They aid scalability by ensuring parallel operations.
3. Bridge Chain: this is the chain that links blockchains that do not require the governance mechanisms of Polkadot.
How Polkadot Works
The Polkadot platform’s sole reliance is on a relay chain that uses a proof-of-stake method for verification. However, the DOT token gives validators the voting power to become part of decision-makers in the development of the network.
To this end, anyone making a financial stake on DOT is enabled to block the token in contact that requires one of two functions to operate:
1. Validating roles: data in the parachain blocks are checked to establish accuracy. They also participate in the network’s consensus process while voting on modifications.
2. Nominating roles: they ensure the safeguarding of the relay chain with the appointment of credible validators and the delegation of staked DOT tokens to the validators.
3. Collecting roles: these are nodes that keep a thorough record for every parachain while contributing data about the parachain’s transaction to get them added to the relay chain.
4. Fishing roles: the Polkadot network is promptly monitored and any sort of inappropriate behaviors to the validators are reported.
Polkadot is indeed gathering momentum to be intentional in its decentralization of the web by forming a linkage between blockchains to communicate while enabling the emergence of new applications.