Today is a historic day for the Polkadot project. The crowd loans for their parachain slot auctions have begun. Polkadot is one of the most promising smart contract cryptos and a “blue chip” of the Cryptoverse holding a solid top ten position. If you are a DOT hodler then don’t miss out on this great opportunity. The parachain slot auction is a novel method for raising the necessary funding for projects launching on Polkadot. The first slot will most likely go to a Web3 foundation favorite, Acala.
I have put my DOT into the Acala crowd loan. Participants must lock their DOT for 96 weeks (the duration of the parachain slot lease), so be aware that there’s a chance we could be in the depths of the next bear market before that DOT is unlocked. Acala is angling to be the DeFi hub for Polkadot and have already launched on Kusama under the Karura project.
When locking your DOT into the crowd loan Acala will issue you their ACA tokens, and there is an option to still have access to the equity of your DOT stake. Acala will issue liquid DOT (lcDOT) for the DOT you have locked. It will be possible to use lcDOT to collateralize Acala’s aUSD algorithmic stable coin and participate in their DeFi pools. I plan on using this in combination with the ACA token to get a slice of some DeFi action.
The crowd loan has just opened, and early birds can enjoy an extra 5% ACA tokens for the next two days. I participated in their pre loan “quests” to earn a referral bonus. If you don’t have your own referral bonus you can click the link to get another extra 5% (I will also receive 5%) so if you participate in the next couple of days, you can get up to 10% more ACA tokens for your bonded DOT.
Reward Calculation (excluding bonuses): (Your DOT Contribution / Total DOT Contributed to Acala) * 150,000,000 ACA
Binance is also offering ways to participate in the Polkadot parachain slot auctions. Most importantly Acala is not some Ethereum DeFi clone on Polkadot. They are attempting to create an Ethereum compatibility DeFi ecosystem. The Acala project has Polkadot’s interoperability mission hardwired into its DNA. Acala uses the Polkadot blockchain for its security layer, eventually they will be building bridges to Bitcoin, Ethereum, and other networks like Compound Gateway.
This process is not full trust-less, you must have faith that both Polkadot and Acala as projects will survive the next two years. Both projects are quite serious and have well rounded development, commitment, and founders. This isn’t some BSC shitcoin rug-pull, so I have faith enough to drop my DOT bag into the crowd loan.
These are exciting times in the Cryptoverse and it’s great to be on the ground floor of serious projects like Polkadot. A Two year lock up can be intimidating considering the day to day gyrations of the market but true cryptonauts should be thinking about the long term, and playing for keeps. Acala is a figure from the Buddhist pantheon a king/deity of wisdom and thinking about crypto as a long-term commitment is true wisdom that’ll pay off.
TIME is the most valuable coin and thank you for spending yours reading my post. I hope you have a wonderfully profitable day.
