What is polkadot
In todays blog I'm going to explain to a cryptocurrency I really like because of how much potential it has. The crypto we will be taking about today is called polkadot. This crypto isn't a layer one or a erc-20 token or any other type of blockchain token. In fact it is the first of it's kind which is a layer 0 cryptocurrency. That's why I thought this unique cryptocurrency would make a great article plus some other news happening with polkadot which we will get into this article. So with all that being said lets get into todays blog post.
Why was polkadot created
So first thing first we should cover why Polkadot was created in the first place. Polkadot was created with it's intention being to connect all of worlds cryptocurrencies together. This is why this crypto is given the layer zero layer because It's bigger then just one ecosystem. Polkadot is already kickstarting its parachain auctions which allow for cryptos to buy slots on the network. With the first two auctions going to Acala who won the first auction and moonbeam winning the second slot auction.
How does polkadot work
What Polkadot does is it facilitates the cross chain transfer of any data or asset types. Not just cryptocurrency or it's tokens there for making a wide range of blockchains interoperable with each other. This is great for the internet of things which will be a big part of our everyday lives sometime in the near future. Not just that but also Polkadot will be a great assets to own because it will also connect all these cryptocurrencies blockchains together making it easy to wrap tokens and cryptos through any blockchain you want. That's just the early stage of Polkadots development it has yet to still develop a eco-system of its own yet.
How Is polkadot doing right now
Now the price of Polkadot right now is dumping significantly and there are reasons for that. Most of which I've covered in my last article about where the crypto market is heading use the link I've provided to read the article. Besides what I covered in there another reason DOT is currently dumping is also because of the new covid variant and the fact the latest auction just finished 2 days ago ( today being 11/26/21). Polkadot has had a 24 hours lose of 10.83% with its current price being $35. I believe as we exit black Friday and the usual weekend bear cycle comes and goes that The price of dot will start to pump. You can read more on my reasoning for that in my previous blog I've linked above.
What Is the future of Polkadot
None of this is financial advice so please don't take it as such. But I think the future of polkadot looks bright if you ask me. I think as more parachain auction happen and more DOT gets locked up that the price of polkadot will start to pump. I also believe that once this blockchain get developed and real world assets and NFTS get brought onto the blockchain that the value of Polkadot will go through the roof and to the moon. I also believe that once Polkadot gets a ecosystem of it's own that its price will start to pump more as more liquidity is brought in. As a top 10 crypto with it placing be 8th I believe sooner or later it's going to be a top 5 especially as more auction happen. We could see the price of polkadot possibly hit $100 by the end of the bull run.