Polkadot is a recent innovation in the Cryptocurrency world. It is the next generation of Blockchain that aim at the multi-chain framework. Nowadays, it is getting very demanding, and many people are investing in this DOT token.
But you might be the one thinking that it is worth investing in Polkadot and how high it will go in the coming years. Well, many major factors affect the price of polka dot. So before you make an investment, first understand what it is and how it works.
Working of Polkadot
Polkadot was launched in May 2020 and is the improved version of Ethereum. The drawback of Ethereum is the positive of Polkadot. Ethereum has only one lane for transactions, while Polkadot has many, making the transactions quite speedy.
Polkadot uses the system of public and private key cryptography to transfer funds from one Polkadot wallet to another. In addition, it confirms the transaction of a pending block every six seconds and joins all the blocks together to form a Polkadot blockchain.
Price history of Polkadot
The first time, in august 2020, the Polkadot value hit the amount of $2.69, and late in September, it was increased to $6. You may get surprised to know that last November, Polkadot hit its all-time high, which is $53.98. However, the currency price of this token has nearly 140% hype; from the price, it was introduced.
What makes Polkadot a good investment?
This price history tells us that it is a great option to invest in for a long time. But remember, it is also a high-volatility coin, which may crash after a certain point. So always invest the money you are ready to lose. These days, many people are investing in this coin. But, if you are one of those willing to invest in pol but have a doubt, then you must know the reasons that make Polkadot worth buying.
Hype of Polkadot
Since Polkadot was introduced, it has continued increasing the interest of investors. This is because the developers of Blockchain get a chance to create a new blockchain or join the current one using this platform. The hype of this particular token tells us how much returns it will give shortly.
Growing potential
Everyone knows how digital currency is growing these days, so the Polkadot dot has the potential to grow significantly in the world of digital currency. As they have many lanes for making a transaction, it has way more secure and faster transactions than all other top cryptocurrencies. In addition, it has the ability to handle thousands of transactions per second. However, you can earn free coins from Polkadot mining.
Decentralized currency
Decentralization is the biggest reason to buy Polkadot. When a person makes a payment using fiat money, the funds are issued by the banks or government. On the other hand, when a person makes a payment using Polkadot, their transactions are only limited to the sender and receiver.
Low energy consumption
Polkadot is based on the next-generation nominated Proof-of-Stake, which uses lower energy than other currencies. In recent studies, it was found that Polkadot is one of those which have low carbon footprints among PoS.
...............................................................................If you want to know what the price of Polkadot will be within the next ten years, our Polkadot price forecast can give you a really good idea of what to expect, you can check the link below or enter our chat rooms and talk with crypto enthusiasts and traders.