Upcoming Parachain Auction Sends Polkadot Soaring

Polkadot (DOT) has been rising lately, reaching new all-time highs after news of the upcoming launch of parachain auctions on the Polkadot platform.

DOT Reaches New ATH

Polkadot announced the developing of parachain auctions in early 2021. As Crypto News Australia reported last month, the protocol has released dates for the first set of parachain auctions, prompting an overnight DOT token price surge of more than 18 percent.

This week, the Polkadot team announced that a motion had been passed to Polkadot’s council. If approved, developers will be able to register their parachains from November 5 and seek crowdfunding.

The excitement surrounding the launch of parachain auctions is the force behind DOT’s bullish rally, which surged 16 percent this week, reaching an ATH of US$53.18 at press time, beating its previous ATH of $49.35 in May.

Parachains are blockchains integrated within the Polkadot network that can be customised and optimised for a wide range of specific use cases. Unlike Ethereum, Polkadot allows its developers to create their own independent chains and set specific parameters, such as transaction fees, block times, mining rewards, etc.