Analysts believe Polkadot price will surpass $100 with the launch of parachains

  • PolkaFoundry, built on Polkadot, is compatible with the Ethereum Virtual Machine, emerging as the top choice for NFT projects.
  • The second edition of Kusama Parachain slot auctions is underway, and heated competition between blockchain projects ensues.
  • Launch of Parachains likely to trigger a bull-run in the protocol's native token DOT.

Over 1.7 million KSM tokens are locked for parachains and crowd loans. The cross-chain protocol Polkadot will soon operate relay chains and parachains. 

DOT gears up for rally to $100 with updates in Polkadot ecosystem

Vitalik Buterin, the founder of Ethereum, shared his thoughts on a few possible solutions to the challenge of rising gas fees. Buterin states that migration of NFTs entirely off Ethereum and onto layer 2 scaling solutions will reduce transaction fees. Buterin proposed a few alternatives for implementing the same. 

PolkaFoundry, a cross-chain protocol focused on DeFi and built on Polkadot, has emerged as a possible alternative to the problem that Buterin is looking to solve. The protocol capitalizes on the scalability of Polkadot and is compatible with Ethereum's Turing-complete machine EVM. 

As more NFT marketplaces and projects migrate to protocols built on Polkadot, the network will likely witness a rise in on-chain activity and overall demand for the native asset DOT. This is one factor that can contribute to a rally in the native token of the Polkadot ecosystem. 

Another factor is the launch of parachains, layer-1 blockchains that are expected to run in parallel with Polkadot and Kusama Networks.

Parachains have cross-chain composability, and projects on Parachains can connect to Bitcoin and Ethereum through cross-network bridges. This has opened up a wide variety of use cases with the ecosystem, and the ongoing Parachain auctions on the Kusama Network have been well-received. Blockchain projects are faced with stiff competition. 

Polkadot was conceived as a layer-0 multi-chain network at its launch, and this implies that the central Relay Chain is capable of offering layer-0 security and interoperability for nearly 100 layer-1 parachains. 

Lark Davis, a cryptocurrency analyst and YouTube content creator, believes that the launch of parachains will trigger a rally in DOT, arguing that the demand for the underlying native token of the Polkadot network is set to skyrocket. 

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