Editor's Note: This article comes fromDeep tide TechFlow (ID: Tech-Flow), Author: Bonnie, reproduced by Odaily with authorization.
Editor's Note: This article comes from
Deep tide TechFlow (ID: Tech-Flow)
Deep tide TechFlow (ID: Tech-Flow)
, Author: Bonnie, reproduced by Odaily with authorization.
Missed LINK, DeFi and Ethereum, do you still miss Polkadot?
In the past week, the Polkadot token DOT has more than doubled. The total market value of Polkadot has reached 5.4 billion US dollars, successively overtaking EOS, BCH, LINK and other currencies, and came to the sixth position.
KLP, KSM and PCX, which are Polkadot ecological projects, have risen by 330%, 166% and 56% respectively in the past 7 days.
According to Polkadot supporters, Polkadot integrates all hot spots such as cross-chain, DeFi, and DAO. In addition to the "King of Ten Thousand Chains", Polkadot also has benefits such as the launch of Coinbase that have not yet been cashed in. More importantly, "all the funds that go out of the air will go to Polkadot." Breaking $10 is just a short-term goal.
In the eyes of Polkadot's opponents, Polkadot may just be the next EOS - they also vowed to surpass ETH, and also said to do Internet 3.0. Similar methods: EOS nodes campaigned to buy coins before, while DOT was a parachain campaign to buy Coins seem to be a reincarnation.
It is difficult to determine which is right and which is wrong, but none of them can stop the rapid development of DOT and its ecological tokens.
Is Polkadot hype or real demand? After crossing EOS, will Polkadot surpass Ethereum?
secondary title
Polkadot makes rich
The rise of Polkadot has given birth to a group of upstarts in the currency circle.
Since the completion of the split, DOT has a sun line, rising for 4 days in a row, reaching a new high of $6.3.
If some time ago, some investors were still regretting missing the surge in DeFi and LINK. Napoca seemed to give them a chance to get in the car.
"Missing Ethereum in 2014 was a stain on our investment career. Fortunately, we have been working on the Polkadot ecological track for two years, and we are finally proud." The founder of a blockchain fund said.
What is Polkadot? This is a scalable heterogeneous multi-chain system developed by Parity and the Web 3 Foundation led by Gavin Wood.
Gavin Wood's original explanation is that it is actually a network of networks, and will eventually become a network of networks of networks. In other words, it can be combined. It is a platform for blockchain innovators. You can use this platform to create new business logic and integrate it into a system without falling into network effects.
"Polkadot integrates all hot spots such as cross-chain, DeFi, and DAO." Yiboka investors said that all public chains can bridge Polkadot, DOT acts as DAO governance, and all ecological assets can be DeFi. In his eyes, Polkadot is omnipotent. ChainX CMO Kristen said, DOT=ADA+XTZ+ETH2.0+EOS+ATOM
"The public chain is the center of gravity of the ecology, and Polkadot is the center of the public chain." In the eyes of some investors, Polkadot is already the next Ethereum-level investment opportunity.
Not only Polkadot, but the Polkadot ecological currency also has outstanding gains.
"The currency circle is now the Polkadot moment, and the Polkadot ecological currency is showing its talents." An investor said.
The project in the picture above is called the Polkadot ecological currency, and it has experienced large and small increases since its launch.
The miracle of wealth has brought more attention to Polkadot and Polkadot ecology. On the other hand, some old people in the currency circle recalled the summer of 2018, the EOS super node election.
secondary title
The next EOS?
It is reported that the Polkadot network module is mainly composed of three parts: relay chain (Relaychain), parallel chain (Parachain) and transfer bridge (Brightchain). Polkadot can transmit data to all blockchains to realize the circulation of assets and data between various chains.
“The most striking thing about the Polkadot project is not itself, but the possible construction of a cross-chain ecosystem.” Some investors said.
Cross-chain technology has been debated before Polkadot, mainly including lightning network, side chain and relay, but it has not been matured. The cross-chain is mainly divided into asset cross-chain and contract cross-chain. Cosmos can only do asset cross-chain, and Polkadot can also carry out contract cross-chain in addition to asset cross-chain, but the premise is that the access chain needs to have the same consensus.
In short, if Polkadot wants to establish a cross-chain ecology, it must gather the consensus of other public chains and applications. This is why Polkadot pays attention to ecology.
The Polkadot ecology is divided into 3 sections:
Node validators (POS Bakerz, Polkadot.pro)
Kusama network (Kusamak is faster, suitable for early trials and early deployment, Polkadot is slow, and executes some low-risk, high-value applications)
Polkadot substrate infrastructure (ChainX, Darwina Network, MXC, Edgeware, OCEAN Protocol, CELR)
As early as the end of 2018, the Web 3 Foundation initiated by Polkadot founder Gavin Wood launched a funding plan to fund open source projects related to Polkadot and Substrate (Polkadot's open source modular toolkit), and each project can get Grants of up to $100,000.
At present, the Polkadot ecosystem has more than 100 applications/subjects, covering cryptocurrency wallets, verifiers, forums, browsers, and various projects based on Substrade, such as privacy, bridging, DeFi, smart contracts, etc.
Many people compare Polkadot and EOS. They have many similarities. For example, they both said that they want to surpass ETH, and to do Internet 3.0, they need the support of nodes/parallel public chains, which also triggered a market boom.
In June 2018, before the launch of the EOS mainnet, the highest price rose to 22 US dollars, and the market value once reached 17.6 billion US dollars. It is three times the current market value of Polkadot and six times the market value of EOS.
But in fact, in terms of ecological construction and support, Polkadot and EOS are not the same. Two years after the launch of the EOS mainnet, Block.one, the development company behind it, funded a total of 34 projects with US$1.7 million, while the Polkadot Web 3 Foundation has funded 129 projects with an amount of US$6.45 million before the mainnet launch.
Under the huge financing of EOS, Block.one held a maximum of 45 billion U.S. dollars, but most of them were exchanged for Bitcoin and U.S. Treasury bonds during the bear market.
EOS does not pay attention to internal ecology and even infighting destroys it. Previously, members of the Meet.one project denounced EOS in a statement that Block.one did not consider the boundary issues when dealing with the internal relationship of the EOS ecosystem, which caused dissatisfaction among Dapp projects within the ecosystem. For example, the API made by EOS New York was directly rejected by the Block.one development team. Taking it away and claiming that it was developed by its own team was jokingly called the wool of the project party within the community.
So, two years later, EOS became a very old man, and was overtaken by newcomers such as LINK and EOS, and could only watch them go away.
At present, the Polkadot DeFi ecosystem has launched several projects such as Stafi, Acala and Sora Network.
"Old leeks think it is the next EOS, but new leeks think it is the next Ethereum." Recently, there is a saying that the former is regarded as a model of "hype", while the latter is defined as value investment.
Can Polkadot Overtake Ethereum?
The above-mentioned investors said that Polkadot is leading in technology, but it cannot compare with Ethereum in terms of ecology, and needs to complete the ecological layout before ETH 2.0 goes online.
secondary title
Ethereum killer?
"If Polkadot's parachain system can operate smoothly, it will surpass Ethereum just around the corner." Some investors said.
"One-click issuance of coins" is the consistent slogan of Ethereum supporters, while Polkadot supporters have a louder slogan-"One-click issuance of chains".
Polkadot’s development tool Substrade supports one-click chain issuance, which can issue a chain of its own in 15 minutes, and can also issue tokens on the chain. In addition, on Polkadot, users can not only design their own chains, but also design their own economic models.
But in the eyes of expert players, the difference between Polkadot and Ethereum mainly lies in on-chain governance. Polkadot responds quickly and upgrades quickly. Any new technology and cryptography can be added to Polkadot's chain, and all of these require community voting to execute.
Lane Rettig, a core technical member of Ethereum, once issued a document stating that the governance of Ethereum has failed, "actually ruled by technologists."
On Ethereum, the creation and submission of EIP (Ehereum Improvement Proposal, Ethereum upgrade proposal) is open to everyone, and then submitted to the core development team for review and voting.
Behind the seemingly decentralization of the Ethereum community, there is a lack of promotion mechanism, which leads to inefficiency. For example, the previous Constantinople hard fork was originally scheduled to take place in November 2018, but it was postponed to March 2019.
And "the development of the Polkadot network is determined by DOT holders", the management group is composed of active token holders and the council, and the decision on network upgrades must go through a referendum. Governance process: Initiate a referendum - vote on proposals - statistics.
Voting rights are calculated according to the total amount of tokens and the lock-up period. Ensure a minimum financial investment while avoiding ticket sales. The council is scheduled for one month, representing DOT stakeholders, and interests are the biggest motivation.
The sole purpose of the technical committee is to detect problems such as code errors, and does not make direct decisions on governance. Members can be added or removed by the council.
The Orange Book once compared the two visions of Ethereum and Polkadot: the vision of Ethereum is to use the ledger of Ethereum to help villages/various economies around the world to keep accounts and checkouts, while what Polkadot needs to do is to use China Follow the chain to keep accounts for other villages. Both are essentially ledgers.
However, compared with the almost no threshold of Ethereum, developers who want to issue chains on Polkadot must pledge a certain amount of DOT. For projects that require a high degree of stability, parachains need to be involved, and for some verification projects with low transaction volume, parallel thread channels can be used, similar to "shared bicycles".
The resources of the Polkadot network are limited, and the number of parachain slots is also limited. In the first year of Polkadot mainnet operation, with the realization of technology, the number of slots for parachains will increase from about 5 to 50 to 200.
Except for some reserved slots, limited slots will be rented by mortgaging DOT through "candle auction". Each slot has a usage time of 6 months to 2 years.
Both node staking and parachain slots require locking DOTs. This also makes Polkadot face the issue of pledge release in the future.
At present, the mortgage rate of Dot is 70.2%, accounting for nearly 70% of the total. Polkadot browser Subscan data shows that in the next month, the market will face unlocking selling pressure of 66.89 million DOT.
Compared with the data on the chain, Polkadot is still a long way from Ethereum. Ethereum’s daily active accounts are around 600,000, Polkadot’s daily active accounts are around 12,000, which is only 2%, and Polkadot’s market value (5.6 billion) is 13% of Ethereum’s (43.226 billion).
However, the Ethereum community is also afraid of the rise of Polkadot.
In 2019, Afri Schoedon, the former core developer of Ethereum, praised Polkadot on Twitter, saying that Polkadot had achieved the effect that Serenity wanted to achieve in the fourth phase of Ethereum, so he was called a "traitor of Ethereum" by the community and quit Ethereum community.
Many projects within the Ethereum ecosystem have also begun to turn to Polkadot. Aragon is a decentralized autonomous project based on the Ethereum ecosystem, but it also maintains a delicate relationship with Polkadot. At the beginning of this year, Aragon announced that in addition to supporting Ethereum, it will also support Polkadot.
