Welcome back to HC's Youtube channel – CAPITAL. Before starting the video, I would like to congratulate the brethren who are holders of Polkadot when DOT has recently set a new ATH peak and has not shown any signs of cooling down in recent days. Then I would like to ask the DOT holders why did you choose this coin to invest? Is it because you believe that the technological potential of Polkadot will dominate the market in the future, or is it because you see the name Polkadot or too many call groups, my friends are too fomo, so I bought it. ? Whatever the reason, I personally believe that Polkadot is an extremely good coin to invest in and this video will explain why I have controversially titled the video so take a look. End the video before you think badly of yourself Let's get started! First of all, you must have heard a little bit about Polkadot's technology, right? Now, the transaction processing speed is smooth and the transaction fees are cheap, surpassing Parachain and Multichain and all. Calm down guys, we'll go through them one by one.
What is Polkadot? Polkadot (DOT) is a multi-chain (Multi-Chain), heterogeneous and scalable blockchain network technology. Multi-chain is the core technology that helps Polkadot's ecosystem to thrive as current time. Polkadot was born to solve the problems of transaction processing speed, network scalability, and interoperability of individual blockchains. These are also the current problems that blockchain technology still faces. looking for a solution. If we talked about Polkadot without talking about Polkadot's brother Kusama, it would be a big omission.
Kusama as defined in the whitepaper is Polkadot's dedicated network that plays the role of detecting and alerting any vulnerabilities. on Polkadot's network But well, you don't need to complicate matters so much. Kusama is understood in the simplest and most intuitive way as an experimental version of Polkadot that exists as a standalone network Projects that launch on Polkadot will have a test version on Kusama Run on Kusama first, Polkadot later .
I think Polkadot is one of the projects with a relatively more complex technical vision and structure than other blockchains, but if we understand that complexity , we will have a clearer view. about Polkadot's future stature in solving current blockchain technology problems Polkadot's structure has many peculiarities and is relatively complex, but in a nutshell we can divide it into 3 main factors Main Chain (aka Relay Chain) Scaling solutions (also known as Parachain) and Bridges I will go into depth explaining these factors so that you can A closer look at how Polkadot works.
Main Chain Relay Chain is the backbone of Polkadot responsible for linking the pieces in Polkadot's chain such as Parachains and Bridges. Parachain is an individual blockchain branch linked to the main chain of Relay Chain and can operate independently in the Polkadot ecosystem. Parachain is the key to affirming Polkadot's vision that is the Blockchain of Blockchains. Recently, you have also heard a lot about the Parachain Auction (Parachain Auction) that will take place on the upcoming 11/11, so what exactly is the Parachain Auction? This is a form in which projects will participate in an auction to be able to rent Parachain slots and launch their technology on it within 2 years. Why is Parachain Auction so attractive to the community? The first two main reasons are the superiority of these parachains.
The project can freely design, self-deploy, build applications and manage according to the purposes of those projects without any there is no obstacle or limitation except that it is required to run on the Polkadot system The second reason is the quality of the projects that are predicted by the community to win these Parachain slots It can be mentioned Centrifuge, Acala, Bifrost, KILT and Moonbeam. I will talk more about these projects in the next part of the video. If you are interested in these projects, don't miss it! To sum it up a bit to make it easier for you to understand the potential of Polkadot If BITCOIN can transfer values between users in the network, then Ethereum can also do it but Ethereum can also handle machine tasks. computational complexity to run programs that execute different functions And Ethereum needs GAS fees to handle those computational tasks and the more complex the task, the more expensive the GAS fees.
If Ethereum wallet is a highway but constantly encounters congestion and slow traffic plus expensive road fees, then Polkadot is likened to owning many highways and every highway is wide. ladder like that. The above factors are the reason why I think that when talking about the vision in blockchain technology Polkadot will be a direct competitor to Ethereum when the founder of Polkadot Gavin Wood was also the CTO of Ethereum. With such a vision and ambition, what stage is the Polkadot ecosystem at and what quality products are there? As you all know Polkadot has recently established a new ATH peak and we are right before the parachain auction that will take place on 11/11 Polkadot's marketcap has reached more than 53 billion dollars and is in the top 10. Coin with the highest market capitalization CRYPTO Recently, the founder of Polkadot, Mr. Gavin Wood , announced a development fund worth 774 million USD. This is a big picture of Polkadot ecosystem categorized by key segments of a DEFI, Infrastructure, NFT, Tool Explorer, Privacy, Wallet and Oracle ecosystem. Polkadot is still a nascent ecosystem even though it has received a lot of attention from development teams and investors.
Currently, on Polkadot, there are core DeFi projects such as stablecoins, decentralized exchanges. centralized (DEX), data source (oracle), Lending and Borrowing, Yield Farming. I will go over a few outstanding projects for your convenience. In the DEFI array, we can recognize extremely potential names with huge backers like Acala, Centrifuge and Bifrost. About Acala, Acala Network is a Stablecoin Platform built on Polkadot that has many outstanding features such as: Lending, Dex, Staking service. Acala's vision is to create an open financial framework with Polkadot ecosystem that provides financial stability liquidity and global access to crypto assets The highlight here is that Acala will issue stablecoin aUSD allows users to send and receive USD on any blockchain connected to the Polkadot network instead of having to use specialized stablecoins for each different blockchain as currently Acala Network is invested by leading investment funds .
top in the market like ParaFi Capital, Spartan Group and Panterra Capital. Centrifuge Centrifuge was one of the first protocols in the world to connect real assets, a market worth trillions of dollars, to DeFi Today businesses are using Centrifuge to access the liquidity DeFi provides while investors finance the project to get attractive and stable returns. Through Centrifuge Chain, real assets: invoices, real estate, royalties, etc. will be encrypted and traded as NFTs, making them easy to participate in defi protocols like Maker, AAVE.
Centrifuge is predicted to be one of the first projects to win the auction and launch Parachain on Polkadot. Bifrost, a project that won the 5th Parachain Auction on Kusama Bifrost is a cross-chain network whose highlight lies in staking. Normally, if you stake, you won't be able to trade that asset or token anymore, right? Bifrost solves that problem by providing a vToken of equal value to the assets you stake, and this vToken has a value that helps users continue to use DEFI services in Kusama. Bifrost is invested by many large funds, of which the prominent name is DFG (Digital Finance Group) with projects such as NEAR, SOLANA, AVALANCHE and POLKADOT. In the Infrastructure segment, aka infrastructure, we have two of the many prominent names that are Moonbeam Network and KILT Protocol two projects that have won the Parachain auction on Kusama Moonbeam is a blockchain, a smart contract.
Parachain proof on the Polkadot network is fully compatible with Ethereum. The project is designed with the main purpose of helping to provide scalability to the Polkadot network by implementing an EVM virtual server operating on the platform. Through it, Moonbeam allows decentralized applications (Dapps) on Ethereum to migrate to Polkadot easily. KILT Protocol is one of the pioneering projects in the Polkadot ecosystem of decentralized identity and information authentication. Kilt can provide standardized information for businesses built on blockchain. With Parachain ready to launch in mid-November, I think this will be a huge hit not only for the Polkadot ecosystem but for the entire CRYPTO market, similar to the Bitcoin update in 2017. I have another basis to believe in an extremely exciting uptrend market at the end of this year. With Polkadot alone, if Parachain is launched properly, DOT is expected to have a very strong upward force to $ 95 even.
approaching the psychological price zone of $100. That's the potential, but you also need to choose the entry wisely to avoid the possibility of swinging at the top right? You can refer to the buy-in and stop-loss entries in the Telegram group and channel HC – MARGIN in particular and HC – CAPITAL in general. The link will be in the video description , remember to join. Then, after watching this video , do you see that the statement in the title has gradually come true? I agree that Ethereum is still at another level right now when the breakthrough projects so far are still majority and mainly deployed on Ethereum. What about you guys, what do you think about the potential of Polkadot? Will Polkadot run a circuit to $ 100 by the end of this year, guys? Please comment below to let me know!.