Polkadot is a unique network designed to connect all other blockchain networks. It aims to create a platform for developers where they can develop a value-added product that works on all blockchains. A true multi-chain application environment that ensures interoperability between networks. Polkadot wants to become a basic infrastructure platform on which all blockchains can build. They believe that this requires a system where everyone participates on equal terms. The two main problems that blockchain-based systems need to solve are the oft-repeated ones of scalability and governance. By scalability, we mean that the network can process how many transactions per second. And governance refers to how the community manages change. Polkadot attempts to address both of these problems. It is very similar to the ETH 2.0 plans.

Both are trying to distribute the blockchain, which would make the authentication of transactions more efficient. In the longer term, it could be a serious competitor to Ethereum, attracting the attention of many application developers. Polkadot has its own internal token called DOT. Token holders can vote on code changes, which if consensus is reached will be automatically applied across the entire network.

Its success is shown by the fact that it has grown to become the fourth largest cryptocurrency in less than a year. Its highest market capitalisation to date was $18 billion.