There’s a new cryptocurrency making its way to the top, and its vibrant pattern is part of its appeal: while many of us may have previously thought of it as something worn by clowns, you may start hearing a lot more about this company in the context of developing new fintech solutions.
Benzinga reports today that the Polkadot altcoin is up 49% over a week, propelling it to become the fifth largest cryptocurrency behind Bitcoin, Ethereum and other front-runners.
“After BTC peaked out in 2017, many investors and traders moved their profits into EOS, which lead to that coin reaching its all-time high at end of April 2018,” reports Shivdeep Dhaliwal. “DOT reached its all-time high of $14.86 on Thursday.”
Polkadot is a blockchain ecosystem that handles smart contracts and aims to someday support a diversity of decentralized applications in a new world of decentralized finance and transactional ability.
“A primary use case for Polkadot is enabling interoperability between chains, regardless of their features or their status as a private or public chain,” reads an FAQ on Polkadot’s web site. “Interoperability lets diverse chains perform arbitrary messaging, including value.”
Dhaliwal also reports that some Asian investors use Polkadot for scrying into the future movements of other cryptocurrencies like Bitcoin.
As far as Polkadot’s rapid emergence on the cryptocurrency field, it has something to do with Ripple’s regulatory problems.
As Ripple has come under fire from the U.S. Securities and Exchange Commission for accusations of selling unregistered securities, the resulting downward pressure has led to promotion for altcoins like Litecoin and Polkadot.
If you have cryptocurrency holdings or you’re thinking about getting involved, keep this in mind. Analysts and others routinely go over the balance between bitcoin as the top crypto currency and various Alta coins that may challenge its dominance in the years to come.