Polkadot facilitates cross-chain communication and interoperability by connecting multiple blockchains into one unified network.
The Relay Chain is the central chain of the Polkadot network. All validators of Polkadot are staked on the Relay Chain.
The Parachains are parallel chains that connect to the Relay chain and are maintained by their validators, called collators.
The Bridges are special blockchains that allow Parachains to connect to and communicate with external networks like Ethereum and Bitcoin
Polkadot uses DOT tokens for operating on its network. DOT serves multiple purposes such as:
Governance: where participants can manage protocol updates and fixes.
Staking: where the tokens are staked to ensure the network remains secure, as good validators are rewarded, and bad actors lose their stake.
Bonding: where new parachains are supported by bonding tokens.
Fees: for ferrying messages across parachains.
Based on Polkadot’s first stakeholder vote, all DOT tokens will be redenominated by a factor of 100 at block 1,248,328, estimated to occur at 2020/08/21 4:40 PM (UTC). To support the redenomination plan, all DOT deposits made to Binance after block 1,205,128 will be multiplied by a coefficient of 100. For example, if a user deposits 10 DOT, he/she will be credited with 1,000 DOT to his/her account.
Polkadot enables scalability by allowing specialized blockchains to communicate with each other in a secure, trust-free environment.
Polkadot is built to connect and secure unique blockchains, whether they be public, permission-less networks, private consortium chains, or oracles and other Web3 technologies. It enables an internet where independent blockchains can exchange information under common security guarantees.
Polkadot is a living network with the core pillars of governance and upgradability. The network has an advanced suite of governance tools and, using the WebAssembly standard as a ""meta-protocol"", can autonomously deploy network upgrades. Polkadot adapts to your growing needs without the risks of network forks.
By connecting these dots, Polkadot serves as a foundational part of a decentralized web, where users control their data and are not limited by trust bounds within the network."