Introduction to Polkadot (DOT)
Polkadot is a sharded heterogeneous multi-chain architecture that enables external networks as well as customized layer one “parachains” to communicate, creating an interconnected internet of blockchains. The network uses an environmentally-friendly proof of stake consensus algorithm.
The protocol was created by the Ethereum co-founder Gavin Wood and is developed by the Web3 Foundation with the initial implementation by Parity Technologies.
Polkadot has four core components:
- Relay Chain: Polkadot’s “heart,” helping to create consensus, interoperability, and shared security across the network of different chains
- Parachains: independent chains that can have their own tokens and be optimized for specific use cases
- Parathread: similar to parachains but with flexible connectivity based on an economical pay-as-you-go model
- Bridges: allows parachains and parathreads to connect and communicate with external blockchains like Ethereum
Polkadot (DOT) Price Chart