Polkadot: Connecting the decentralised space
The tremendous growth of blockchain technology in the tech space and its rapid applicability in various walks of life has led to the development of multiple blockchains in the market. Although the world’s fast adaptability towards blockchain technology is commendable but has raised the issue of interoperability, integration, communication and networking within the existing blockchain network. We all know that blockchain technology has its separate protocol, network and users, isolated from the world.
The solution to such an emerging issue of interoperability, communication and data exchange within the universe of the blockchain network was provided with the advent of concepts such as bridging and sharding introduced in blockchain technology. Bridging helps to interconnect two different blockchain networks with each other; the bridge blockchain will act as an intermediary between the concerned blockchain network and help provide hassle-free communication. On the other hand, sharding is the process of partitioning the database within the blockchain to improve scalability and increase the speed of the blockchain network.
Polkadot uses this unique concept of bridging and helps different types of blockchain work together and exchange data. Its unique use case is a boon to the integrated decentralised system. Polkadot was founded by Gavin Wood in 2016, who is also a co-founder of Ethereum The Polkadot native currency is known as Dot. Now let us dive deeper into the subject matter.
The use case of interoperability is not the only thing which makes Polkadot a different cryptocurrency. It is altogether based on a different consensus of an algorithm. Unlike most cryptocurrencies which are based on proof of work, Polkadot is based on proof of stake and even has a governance policy through which the users can change the protocol norms.
How does Polkadot work?
The Polkadot main blockchain, which helps to connect two separate blockchains, is called the Relay chain. The relay chain is the heart and soul of the Polkadot, as its primary function is to build a secure ecosystem of blockchain interoperability. The concerned blockchains, which are connected via Polkadot, are known as Parachains. Parachains must pay as they go or lease a slot for continuous connectivity to relay chain
Validators –They secure the relay chain by validating the transactions produced or collected by Collators through staking Dots. Higher the Dots at stake, the higher the possibility of getting the reward.
Collators- Maintain sharded blockchains by collecting user transactions and producing proofs for validators.
Nominators – They nominate trustworthy validators and stake Dots to secure the relay chain.
Fishermen- They monitor the network and report any bad behaviour to validators.
Polkadot has a governance policy consisting of two bodies -The Council and The technical Committee Governance includes matters such as determining network fees, decisions regarding upgrades and removal of parachain from relay chain.
The council has 13 seats and will gradually expand itself to 23. The council elections use the Phragmen process, where the validator selects councillors by selecting the most-backed configuration.
It is a method where users select all acceptable candidates. The vote counting algorithm finds the set of councillors with the most cumulative backing and accepted in the council.
For any change in the protocol or anything related to polkadot needs approval of 75% of council members
It consists of team members who are actively building Polkadot. The technical Committee can propose emergency referenda, together with the council for fast-tracked voting and implementation.
Kusama is the first unaudited and unrefined release of Polkadot created to test the network’s technology in the real world.
We can have an overview of the capabilities and potentiality polkadot holds to transform blockchain technology and perhaps the world. We can reach the optimum level of utilization through Bridging and sharding blockchain networks, it is Polkadot which is capitalizing this opportunity. To name a few popular Polkadot projects- Acala, Moonbeam, Edgeware, and Centrifuge etc. which are widely used in the tech space.