A quick overview of the various project activities of the Polkadot Parachain auction
After proposal #118 was passed, the Polkadot parachain auction was finally put on the agenda.
On October 13, Proposal #118 proposed by Parity Research Analyst Joe Petrowski was approved. After that, Polkadot officially announced the news about the Polkadot Parachain slot auction.
As a star project of the overhead halo, the Polkadot parachain auction has always attracted much attention. With the auction date approaching, what projects have already begun to take action? What kind of activities have they launched? What matters are worthy of our attention?
First, we sorted out the important information in the #118 proposal:
First: The minimum amount for users to participate in a parachain auction is 5 DOT . This amount is set by Polkadot itself, mainly to prevent spam and promote the smooth operation of the crowd lending mechanism, but there are also projects that bypass this in special ways. One limitation, this will be introduced later.
Second: The auction is divided into two rounds. The first round is from 2020.11.11 to 2021.12.16. There are 5 auctions in total, which means that 5 parachains will be born, and the time period for each auction is 7 days. The second round is from 2021.12.23 to 2022.3.10, with a total of 6 auctions, and the period of each auction is 14 days.
Third: The successfully auctioned project will not be immediately connected to the relay chain. There is a certain waiting period. The auction on Kusama is different. In the first round of auction, the lease period of the project is from Lease 6 to Lease 13, that is, after December 15th, the successful bidding project will begin to gradually connect to the relay chain. The second round will not start until March 9, 2022. (Lease refers to the cycle of the network on the chain. A lease in Kusama is 42 days, and a lease in Polkadot is 84 days. Currently, the Kusama and Polkadot networks are in the leases 16 cycle and the lease 5 cycle respectively)
Other specific details about the auction have not yet been announced, but many projects have recently launched early events and pre-registration rewards to attract users to participate. There are 8 major projects that have announced that they will participate in the Polkadot auction, namely Acala (Karura), Aatar (Shiden), Centrifuge (Altair), Darwinia (Darwinia Crab), Equilibrium (Genshiro), Litentry, Moonbeam (Moonriver) and Parallel finance (Heiko). (Note: The name of each project’s advance network in brackets)
Projects announced to participate in the Polkadot auction
Acala itself is positioned as the Polkadot ecological financial center. It has launched a cross-chain multi-asset mortgage stable currency Honzon protocol, a Staking asset liquidity release Homa protocol, and a decentralized exchange. Acala pioneer network Karura is also the first parachain to photograph the Kusama network slot, and the Acala team also plans to win Polkadot’s first parachain slot.
At present, Acala has launched pre-registration and Quests breakthrough missions. Users who complete all missions of Quests will receive an additional 2% participation reward and exclusive NFT.
In addition, Acala plans to launch a product that releases the DOT liquidity of parachain auctions during the slot auction period-lcDOT. Users can also have the liquidity to lock the DOT when participating in the Acala auction, and will not lose the DOT for up to two years. Liquidity, lcDOT can also be used in Acala’s series of DeFi products, such as mortgage lending aUSD and so on. It is reported that through lcDOT, participants can also bypass the minimum bid limit of 5 DOTs, and 1 lcDOT can also participate in the bidding.
Moonbeam is a Polkadot-based smart contract blockchain , and its pioneer network Moonriver is also the second project to obtain the Kusama slot.
At present, Moonriver has realized the full compatibility and transfer function of Polkadot EVM, and a large number of ecological projects have appeared on it. According to data from DeFiLlama, as of October 28, Moonriver’s total lock-up value exceeded US$175 million, ranking 25th in the amount of lock-ups on each chain.
On October 25, Moonbeam announced the details of the rewards for participating in the auction. The key information is as follows:
- 10% of the total supply of GLMR will be allocated to participating contributors.
- After successfully deploying the Moonbeam parachain, 30% of the rewards can be claimed immediately, and the remaining 70% will be released linearly within 96 weeks.
- Moonbeam plans to bid for a lease period of two years.
The pre-registration activity for participating in the auction was announced not long ago: https://crowdloan.moonbeam.foundation/
Astar Network (formerly known as Plasm) is a support multiple virtual machines block chain and multi-chain contracts intelligent platform , plans to support Ethernet Square and ZK Rollups such a Layer 2 solution.
On October 19th, Aatar announced that it would participate in the Polkadot slot auction, briefly introducing the three rewards for participating in crowd lending, as follows:
- Referral Award: Referral can get 1% staking reward.
- Early Bird Award: Participate in the Astar crowdfunding activity before the end of the first auction on November 18, and get an additional 20% staking reward.
- Early Adaptors Reward: This is a separate reward for users who participated in Plasm Lockdrop and Shiden Crowdloan early, and belongs to core users.
In addition, Astar also proposed a new reward strategy in this Polkadot auction. They plan to reward a fixed amount of tokens for each DOT investment to make the reward calculation easier. Currently, the event-related portal has not been announced.
- Parallel finance
Parallel Finance is a decentralized loan agreement built on the Polkadot ecosystem , providing margin collateral, auction lending, mortgage derivatives and AMM functions. Parallel’s pioneer network Heiko won the 10th slot of Kusama.
On October 14th, Parallel Finance announced that it would participate in the auction of the Polkadot slot, and released its own pre-registration entry 3 days later : https://parallel.fi/polkadot/parachain-auction-waitlist.html.
In response to this auction, Parallel Finance also launched the Aution loan product, which will showcase the bidding entries of various projects. On October 28, Astar and Parallel reached a cooperation. Through the Aution loan product, users can get Astar’s original rewards. You can also get additional ASTR and PARA rewards.
Centrifuge is a decentralized asset financing agreement that allows investors to establish connections with organizations that need funds, and connect real-world assets to DeFi, thereby reducing intermediaries and reducing the cost of capital for small and medium-sized enterprises. At present, Centrifuge products are mainly based on Tinlake For the embryonic form.
On October 14, Centrifuge announced that it would participate in the Polkadot parachain auction and publicized the pre-registration entry, but the specific reward rules have not yet been announced. Like the above projects, the period of participation in the auction is two years.
The Xianxue.com of the above projects have already obtained the right to use the slot in the Kusama auction. The Darwinia, Equilibrium, and Litentry mentioned later have not yet been auctioned for the Kusama slot.
Equilibrium belongs to the all-in-one interoperable DeFi collection, which is a cross-chain digital asset market that combines credit lending, synthetic asset generation and trading.
Even before the official announcement of the Polkadot parachain auction, Equilibrium has already started the registration of the waiting list. In order to release the liquidity of participating in the auction of DOT, Equilibrium also launched a product similar to the above lcDOT- xDOT .
Darwinia Network is a decentralized cross-chain bridging network built on Polkadot Substrate. It provides a secure and universal bridging solution that connects to Polkadot, Ethereum, TRON, etc. through cross-chain transfer of assets and remote chain calls. On October 22nd, Darwinia officially announced that it would participate in the auction of the Polkadot parachain. The details of the auction will not be disclosed.
Litentry is a decentralized identity aggregator that can link user identities across multiple networks. It integrates the information of network identities on different blockchains and collects data on the chain such as DeFi and voting governance in a decentralized manner. A web3.0 identity management and credit system.
At present, Litentry has only announced the pre-registration portal for crowd loans. According to its release timeline, it is expected that Litentry will release a specific reward plan early next month.
The above is the status of each project activity that has been made public, and finally there are two points to note, especially for some novice players, you need to pay attention:
First: DOT account has the function of preventing dust account, which means that when your account balance is lower than 1 DOT, the balance will be cleared. So, if you don’t transfer all the money, keep at least one DOT in the account balance, otherwise the balance will directly become zero.
Second: Staking DOT in the Polkadot network takes 28 days to be available. If you participate in the Polkadot network staking and want to participate in the upcoming auction, you need to process it as soon as possible.
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/a-quick-overview-of-the-various-project-activities-of-the-polkadot-parachain-auction/
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