When we think of popular cryptocurrencies, the first names that come up are Bitcoin, Ethereum, and Dogecoin. Since 2020, crypto called Polkadot is also gaining popularity, and there is speculation that it can overtake Ether by the end of 2021.
Polkadot is the latest generation of cutting-edge blockchain platforms that combines many blockchains into a unified network. It is quite similar to Ether in the sense that it is a blockchain-powered network, but it has the added advantage of better scalability. The security of the entire network is ensured by the central, while the network’s capacity is increased with the help of side chains. Polkadot is run as an open-source project by the Web3 Foundation. The main aim of this crypto is the elimination of the slow communication process between private and public blockchains.
Advantage of Polkadot
One of the most apparent advantages of Polkadot over other cryptos like Ethereum and Bitcoin is its scalability. It has been observed that the Bitcoin network can process approximately three transactions per second, while Ethereum networks have the ability to process around 15 transactions per second. This is quite less when we compare it to something like Visa, which can process more than 4,000 transactions per second. Polkadots provides better scalability than many platforms because it uses parachains, which allows it to process a large number of transactions in parallel. While the first para chain will only be released in late 2021, many believe that Polkadot will be able to handle as many as 1 million transactions per second.