- Investors are getting excited about projects building on Polkadot.
- The blockchain’s scalability and interoperability have attracted scores of projects, with many due to launch soon.
- The Polkadot ecosystem they’re building could rival Ethereum, but could also complement it.
The pace of change in the blockchain industry is picking up. Ethereum, second-biggest blockchain by market cap, has attracted the bulk of project development since 2015. But 2020 has seen the launch of a notable rival: Polkadot.
Polkadot, which launched its mainnet in May, is a third-generation blockchain that is more scalable than Ethereum 1.0 and enjoys a $3.5 billion market cap. Its scalability derives in part from allowing projects to deploy their own blockchains—so-called “parachains” with smart contract functionality, which connect to the main Polkadot “relay chain.” That’s cheaper and faster than Ethereum, proponents claim.
Like another Ethereum wannabe, Cosmos, it’s interoperable with other blockchains. But Polkadot is reportedly attracting new developers to its platform at a time when devs are cooling on Bitcoin and Ethereum; it’s seen the price of DOT, its token, surge, and has added dozens of new projects to its platform.