As a next-generation blockchain platform, Polkadot (DOT) enables individual blockchains called “parachains” to become interoperable with each other, forming a framework for a decentralized Web3.
Gavin Wood once stated that Polkadot was created to discover “how we could build the next version of Ethereum.” The answer they’ve created involves two types of blockchains: A main chain, the Relay Chain, which permanently stores transactions; and independent, user-created Parachains that benefit from the Relay Chain’s security and scalability features.
As a multi-chain Layer-0 protocol, Polkadot enables transactions on different blockchains to execute in parallel. Using Substrate, the blockchain framework used by developers to build parachains, developers can connect their chains to the Relay Chain for interoperability, security, and bridging functionality with external networks.
Polkadot has already launched Kusama, it’s “canary network” that is essentially a testnet parachain where other Polkadot innovations, including onchain governance and runtime upgrades, can be tested.
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Project status
Polkadot’s live project consists of three entities, Polkadot, the Web3 Foundation (not profit, R&D and funding), and Parity (blockchain infrastructure development), all of which were co-founded by Gavin Wood.
Team
Making headlines
Square Enix to build Final Fantasy NFTs on Polkadot
New governance model introduced as Polkadot moves toward full decentralization
Polkadot network usage stayed consistent throughout crypto’s Q2.
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Competitive?
Polkadot is a prominent layer-1 blockchain, though it markets itself as Layer-0. Its major competitors are Ethereum, Cosmos, and Solana. Polkadot has one of the most highly regarded development teams in the industry and has been described as the #2 blockchain protocol behind Ethereum. Between 2019 and 2020, a report found that the number of Polkadot developers had doubled.
Hiring?
Parity has listings for about 45 jobs and the Web3 Foundation has 3 open positions.
Social traction
Polkadot has over 1.5 million followers across social media platforms (not including Parity and Web3 Foundation numbers).
Ever been hacked?
Yes. Following the end of the 2017 token sale, the Parity multi-sig wallet was exploited, freezing almost $30 million or about 66% of the token sale proceeds. After offering a bounty to no avail, Polkadot and Web3 Foundation later announced there was still enough funds to complete the development roadmap.
DOT is Polkadot’s native token, which was launched in 2017 in a release of 10 million tokens through an ICO. The initial supply was later redenominated through a community vote, which ultimately increased DOT account balances by 100x.
Total supply
1,103,303,471 DOT
Token distribution
58.4% - Investors
11.6% - Web 3 Foundation for fundraising
30.0% - Founders and the Web3 Foundation for development of the Polkadot platform, etc.
DOT does not have a hard cap on supply; instead tokens are constantly being released into circulation at an annual inflation rate of 10%.
Vesting
Vesting schedules for team members and investors are not available via Polkadot. According to a Messari profile, the below supply curve only affects tokens in the rewards allocation; even here, the source they link to Polkadot is no longer available.
DOT Token utility
Funding
October 2017 - Private ICO $80 million
October 2017 - Public ICO $65 million ($30 million was frozen in wallet hack)
June 2019 - SAFT $60 million
July 2020 - Private sale $42.76 million
Additionally, Polkadot has had multiple venture rounds and secondary market sales. Overall, 30 investors/VC firms have been involved with a total fundraise of $293.7 million. VCs include Kosmos Venture, CoinFund, 8 Decimals Capital, and AU21 Capital.
Decentralized?
Burning Mechanism
When the Treasury ends a period without spending all of its funds, a percentage of DOT tokens is burned, which causes deflationary pressure and encourages the spending of the funds in the Treasury by Polkadot's governance system.
Code Audit
Polkadot has completed two audits, the (overall favorable) details can be found on their Audit page.
Team Transparency
The team is very transparent and also highly regarded within the blockchain development community.
Bug bounty?
Yes (bounty and grants)
According the Polkadot Roadmap, post-launch upgrades are underway, including:
“How the network evolves from its initial vision and design is now up to the network’s on-chain governance community.” - Polkadot Network
Website
$DOT price on Coingecko
Documentation
Source Code
Twitter
Discord
Gavin Wood once stated that Polkadot was created to discover “how we could build the next version of Ethereum.” The answer they’ve created involves two types of blockchains: A main chain, the Relay Chain, which permanently stores transactions; and independent, user-created Parachains that benefit from the Relay Chain’s security and scalability features.
As a multi-chain Layer-0 protocol, Polkadot enables transactions on different blockchains to execute in parallel. Using Substrate, the blockchain framework used by developers to build parachains, developers can connect their chains to the Relay Chain for interoperability, security, and bridging functionality with external networks.
Polkadot has already launched Kusama, it’s “canary network” that is essentially a testnet parachain where other Polkadot innovations, including onchain governance and runtime upgrades, can be tested.
Sign up for the Crypto Weekly newsletter to get our weekly Coin Profile!
Project status
Polkadot’s live project consists of three entities, Polkadot, the Web3 Foundation (not profit, R&D and funding), and Parity (blockchain infrastructure development), all of which were co-founded by Gavin Wood.
Team
Making headlines
Square Enix to build Final Fantasy NFTs on Polkadot
New governance model introduced as Polkadot moves toward full decentralization
Polkadot network usage stayed consistent throughout crypto’s Q2.
Manage your risk with portfolio diversification - it’s easy with Quadency Rebalancer v2.
Competitive?
Polkadot is a prominent layer-1 blockchain, though it markets itself as Layer-0. Its major competitors are Ethereum, Cosmos, and Solana. Polkadot has one of the most highly regarded development teams in the industry and has been described as the #2 blockchain protocol behind Ethereum. Between 2019 and 2020, a report found that the number of Polkadot developers had doubled.
Hiring?
Parity has listings for about 45 jobs and the Web3 Foundation has 3 open positions.
Social traction
Polkadot has over 1.5 million followers across social media platforms (not including Parity and Web3 Foundation numbers).
Ever been hacked?
Yes. Following the end of the 2017 token sale, the Parity multi-sig wallet was exploited, freezing almost $30 million or about 66% of the token sale proceeds. After offering a bounty to no avail, Polkadot and Web3 Foundation later announced there was still enough funds to complete the development roadmap.
DOT is Polkadot’s native token, which was launched in 2017 in a release of 10 million tokens through an ICO. The initial supply was later redenominated through a community vote, which ultimately increased DOT account balances by 100x.
Total supply
1,103,303,471 DOT
Token distribution
58.4% - Investors
11.6% - Web 3 Foundation for fundraising
30.0% - Founders and the Web3 Foundation for development of the Polkadot platform, etc.
DOT does not have a hard cap on supply; instead tokens are constantly being released into circulation at an annual inflation rate of 10%.
Vesting
Vesting schedules for team members and investors are not available via Polkadot. According to a Messari profile, the below supply curve only affects tokens in the rewards allocation; even here, the source they link to Polkadot is no longer available.
DOT Token utility
Funding
October 2017 - Private ICO $80 million
October 2017 - Public ICO $65 million ($30 million was frozen in wallet hack)
June 2019 - SAFT $60 million
July 2020 - Private sale $42.76 million
Additionally, Polkadot has had multiple venture rounds and secondary market sales. Overall, 30 investors/VC firms have been involved with a total fundraise of $293.7 million. VCs include Kosmos Venture, CoinFund, 8 Decimals Capital, and AU21 Capital.
Decentralized?
Burning Mechanism
When the Treasury ends a period without spending all of its funds, a percentage of DOT tokens is burned, which causes deflationary pressure and encourages the spending of the funds in the Treasury by Polkadot's governance system.
Code Audit
Polkadot has completed two audits, the (overall favorable) details can be found on their Audit page.
Team Transparency
The team is very transparent and also highly regarded within the blockchain development community.
Bug bounty?
Yes (bounty and grants)
According the Polkadot Roadmap, post-launch upgrades are underway, including:
“How the network evolves from its initial vision and design is now up to the network’s on-chain governance community.” - Polkadot Network
Website
$DOT price on Coingecko
Documentation
Source Code
Twitter
Discord
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