Polkadot introduces itself as the next generation protocol of blockchain that can connect several specialized chains to a global network. With a strong focus on building infrastructure for Web 3.0, Polkadot aims to disrupt Internet monopolies and empower individual users.
Described as an open source protocol for everyone, Polkadot (DOT) claims to be the next step in the evolution of China's blockchain technology.
The idea for Polkadot was first brought up by Dr. Gavin Wood, one of the founders of Ethereum. The team wants to focus its efforts on security, scalability and innovation.
To do this, the necessary infrastructure must be created to not only support new ideas and concepts, but also to ensure that proper cooperation between different chains can be achieved.
As mentioned, Polkadot allows different blockchains to communicate and cooperate with each other. A single blockchain in the Polkadot ecosystem is called a parachain (parallel blockchain), while the main chain is called a Relay chain.
The basic idea is that parachain and relay chains can easily exchange information at any time.
Any developer, company or individual can launch their own custom parachain on this network. Once the custom chain is connected to the Polkadot network, it can work with all the other parachains in the network.
Creating applications, products and cross-chain services should be much easier with this design. Transfer between blockchain data or assets has not previously been possible on a large scale.
Data security and validation in these different parachains is done through network validation, where a small set of these validations can provide security for multiple parachains. These validators also guarantee that transactions can be distributed across multiple parachains to improve scalability.
Similar to most blockchain infrastructure projects, Polkadot has its own native token, known as the DOT. Dot as a network token contributes to the overall performance of the system, just like ETH which is the Ethereum network token and BTC which is the bitcoin network token.
There are several different uses for this token. First of all, it gives the token holders the sovereignty of the entire Polkadot platform. This includes determining network costs, voting on overall network upgrades, and deploying or removing parachains.
DOT is also designed to facilitate network consensus through the staking process. Like other networks that require staking, all DOT holders are encouraged to always play by the rules. How is it possible?. Well, if they do not, they may lose their stock.
DOT is also used to connect the parachain to the Polkadot network. When new parachains are added to the Polkadot ecosystem, it is necessary to lock a certain amount of DOT in the network during a connection period. At the end of the transplant period and the removal of parachain from the ecosystem, these tokens are released.
There are many reasons for developers to use the Polkadot ecosystem. Due to the limited nature of the current blockchain, there are obviously a few key issues that need to be addressed: scalability, customizability, interoperability, governance, and upgradeability.
In terms of scalability, Polkadot acts as a multi-chain network that processes transfers in parallel across different chains. This removes one of the biggest obstacles to blockchain technology. Parallel processing is a significant development and could pave the way for wider acceptance of the blockchain.
Those looking for customization can take advantage of some of the other features offered by Polkadot. There is no blockchain infrastructure in the network that governs all side chains or parachains. Each project has its own individual needs and requirements, and Polkadot allows each individual chain to optimize its design for that particular function.
In terms of interoperability, projects and applications can share data integrated using Polkadot capabilities.
Any community associated with a particular parachain can run its own network. In addition, the sovereignty of all communities is crucial to the future governance of Polkadot as a whole.
Finally, Polkadot makes it very easy to upgrade individual parachain. You no longer need a hard fork to make changes and updates. Hardfork can divide communities. Therefore, in Polkadot, the main chain can be upgraded in a frictionless way.