• Polkadot facilitates cross-chain communication and interoperability by connecting multiple blockchains into one unified network.

  • Polkadot's infrastructure includes the Relay Chain, the Parachains, and the Bridges.

    • 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.