Tip Of This Earth Month of October 2021 is Polkadot (DOT).
The Polkadot network is now in the Parachain Rollout phase of its phased roll-out plan.
The DOT token serves three distinct purposes: governance over the network, staking and bonding.
There are many projects that intend to build on Polkadot and Kusama and each of them will need their own parachain slot to build upon. Rather than give the projects with the most funding a parachain slot, the Polkadot team came up with parachain auctions as a method to distribute the available slots in a more equitable manner. During a parachain auction, DOT or KSM holders can bond their cryptocurrency to support the project that they believe should receive a parachain slot. In return, the project may commit to airdrop tokens (or provide other rewards) to their supporters.
It is worth noting that, due to the permissionless nature of the protocols, any project may also purchase a parachain slot on the secondary market from anyone who won a slot through auction.
Parachain auctions use a mechanism called a candle auction to randomize the exact moment the winner of an auction is determined. The first round of parachain auctions for Kusama (sometimes known as "the canary network" for Polkadot) took place successfully in September and the first round for Polkadot itself are anticipated before year end.
Marvin says, "The rewards offered by projects competing in these auctions will make ownership of DOT tokens, for the purpose of bonding, extremely attractive."
Polkadot is the flagship project by Web3 Foundation, a Swiss Foundation founded to facilitate a fully functional and user-friendly decentralized web. The Web3 Foundation is partnering with best-in-class entities to build Polkadot and foster development of the services and applications that will run on it. Researchers from Inria Paris and ETH Zurich, developers from Parity Technologies, and capital partners from crypto-funds such as Polychain Capital are all working together to develop a superlative realization of Web3, with Polkadot at its core.
Exchanges where you can buy DOT tokens now include Nexo, Crypto.com, Binance, Bitfinex and soon SwissBorg. (Click the banner at the top of this page to receive an invitation to join Nexo.)
Find out more here: https://polkadot.network/about/