{"id":442948,"date":"2022-05-06T19:55:00","date_gmt":"2022-05-06T16:55:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/will-polkadot-dot-price-reverse-course-now-that-cross-chain-messaging-is-live\/"},"modified":"2022-05-06T19:55:00","modified_gmt":"2022-05-06T16:55:00","slug":"will-polkadot-dot-price-reverse-course-now-that-cross-chain-messaging-is-live","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/will-polkadot-dot-price-reverse-course-now-that-cross-chain-messaging-is-live\/","title":{"rendered":"# Will Polkadot (DOT) price reverse course now that cross-chain messaging is live?"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a33787a6b5f0\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a33787a6b5f0\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/will-polkadot-dot-price-reverse-course-now-that-cross-chain-messaging-is-live\/#%E2%80%9D_Will_Polkadot_DOT_price_reverse_course_now_that_cross-chain_messaging_is_live_%E2%80%9C\" >&#8221; Will Polkadot (DOT) price reverse course now that cross-chain messaging is live? &#8220;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/will-polkadot-dot-price-reverse-course-now-that-cross-chain-messaging-is-live\/#Polkadot_is_unshackled\" >Polkadot is unshackled<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/will-polkadot-dot-price-reverse-course-now-that-cross-chain-messaging-is-live\/#New_use_cases\" >New use cases<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Will_Polkadot_DOT_price_reverse_course_now_that_cross-chain_messaging_is_live_%E2%80%9C\"><\/span>&#8221; Will Polkadot (DOT) price reverse course now that cross-chain messaging is live? &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div class=\"post-content\" data-v-2a0745c6>Development within the Polkadot (DOT) ecosystem has been slowly unfolding over the past year and a half and the work put in by developers is finally starting to bear fruit as parachain auctions finish and the first chains launched on mainnet.\u00a0<\/p>\n<p>The next phase of interoperability within the ecosystem is set to kick off now that cross-chain functionality is about to go live. This next step will allow Polkadot-based parachains to communicate with each other and transfer assets between chains. <\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">After passing community vote, v0.9.19 has been enacted on Polkadot. This upgrade included a batch call upgrading Polkadot\u2019s runtime to enable parachain-to-parachain messaging over XCM and upgrading <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/hashtag\/Statemint?src=hash&amp;ref_src=twsrc%5Etfw\">#Statemint<\/a> to include minting assets (like NFTs) and teleports. <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/uqIB5di2Q1\">pic.twitter.com\/uqIB5di2Q1<\/a><\/p>\n<p>\u2014 Polkadot (@Polkadot) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/Polkadot\/status\/1521840371470409735?ref_src=twsrc%5Etfw\">May 4, 2022<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><br \/>\nHere\u2019s a look at what the launch of the XCM messaging system means for the price of DOT, the options that are now available to DOT holders and how this development increases its functionality within the Polkadot ecosystem. <\/p>\n<h2><span class=\"ez-toc-section\" id=\"Polkadot_is_unshackled\"><\/span>Polkadot is unshackled<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Up to this point, DOT had limited uses and was basically isolated on its own network without much to functionality. Its main functions included staking, governance and for contribution in parachain crowdloans, which helped reduce the circulating supply but did little else to really spark demand. <\/p>\n<p>The introduction of cross-chain communication enabled DOT transfers to various parachain networks and the number of use cases for the DOT token on parachains like Moonbeam and Astar Network. <\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">1\/  <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/search?q=%24DOT&amp;src=ctag&amp;ref_src=twsrc%5Etfw\">$DOT<\/a> is now live &amp; usable in DeFi on Moonbeam!<\/p>\n<p>Following this morning\u2019s <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/hashtag\/XCM?src=hash&amp;ref_src=twsrc%5Etfw\">#XCM<\/a> release to <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/Polkadot?ref_src=twsrc%5Etfw\">@Polkadot<\/a>, Moonbeam has added xcDOT, an XC-20 representation of DOT on its parachain.<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/gCXIqwlXWb\">https:\/\/t.co\/gCXIqwlXWb<\/a><\/p>\n<p>\u2014 Moonbeam Network (@MoonbeamNetwork) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/MoonbeamNetwork\/status\/1521845995373535234?ref_src=twsrc%5Etfw\">May 4, 2022<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Data from Cointelegraph Markets Pro and <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.tradingview.com\/\">TradingView<\/a> shows that the price of DOT has been hard hit by the six-month downtrend in the crypto market as its price has declined 73% from its all-time high at $55 on Nov. 4.\u00a0<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-05\/0c88c2b1-eaf4-4671-88aa-da615ce683d5.png\"><figcaption style=\"text-align: center;\"><em>DOT\/USDT 1-day chart. Source: TradingView<\/em><\/figcaption><\/figure>\n<p>With the token now trading at a notable support\/resistance level, it remains to be seen if the ability to transfer DOT across various parachains will help lead to an increase in demand for DOT. <\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Polkadot launches cross-chain messaging system to solve blockchain\u2019s bridge problem<\/em><\/strong><\/p>\n<h2><span class=\"ez-toc-section\" id=\"New_use_cases\"><\/span>New use cases<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>One notable use for DOT that has been rising in popularity in recent months is liquid staking and the minting stablecoins by using crypto assets as collateral. <\/p>\n<p>DOT can now be transferred to the DeFi-focused Acala parachain and deposited in its liquid staking contract in exchange for LDOT. LDOT can then be used as collateral to mint aUSD, the native decentralized stablecoin of Polkadot and Kusama.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">This also means it\u2019s time to unbond <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/search?q=%24DOT&amp;src=ctag&amp;ref_src=twsrc%5Etfw\">$DOT<\/a> from <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/Polkadot?ref_src=twsrc%5Etfw\">@Polkadot<\/a> for LDOT staking. Liquid DOT staking, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/search?q=%24LDOT&amp;src=ctag&amp;ref_src=twsrc%5Etfw\">$LDOT<\/a>, is about to go live on <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/AcalaNetwork?ref_src=twsrc%5Etfw\">@AcalaNetwork<\/a><\/p>\n<p>&#8211; Higher yield<br \/>&#8211; Keep earning DOT staking rewards but get <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/search?q=%24LDOT&amp;src=ctag&amp;ref_src=twsrc%5Etfw\">$LDOT<\/a> to use in DeFi or to mint <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/search?q=%24aUSD&amp;src=ctag&amp;ref_src=twsrc%5Etfw\">$aUSD<\/a><br \/>&#8211; Instant unbonding<br \/>&#8211; Fully decentralized<\/p>\n<p>\u2014 Dan Reecer \ufe0f\u26aa\ufe0f (@danreecer_) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/danreecer_\/status\/1521535178035933184?ref_src=twsrc%5Etfw\">May 3, 2022<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>DOT can also be used in various DeFi <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>lications including yield farming, lending and borrowing. As the introduction of cross-chain communication spreads throughout the Polkadot ecosystem, additional uses for DOT are likely to emerge, especially as parachains roll out increased functionality. <\/p>\n<p class=\"post-content__disclaimer\">The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.\n<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/will-polkadot-dot-price-reverse-course-now-that-cross-chain-messaging-is-live\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Will Polkadot (DOT) price reverse course now that cross-chain messaging is live? &#8220; Development within the Polkadot (DOT) ecosystem has been slowly unfolding over the past year and a half and the work put in by developers is finally starting to bear fruit as parachain auctions finish and the first chains launched on mainnet.\u00a0&#8230;<\/p>\n","protected":false},"author":1,"featured_media":442949,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDUvOTliMWRlNjUtZDBhMi00NDdjLWIwYTAtNTQ1YzExNWU0ZDg5LmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74867,74894,74863,74868,95118,75168,75493,73785],"class_list":["post-442948","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-altcoin","tag-blockchain","tag-cryptocurrencies","tag-defi","tag-nft","tag-polkadot","tag-stablecoin","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/442948","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=442948"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/442948\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/442949"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=442948"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=442948"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=442948"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}