Can You Buy Polkadot on Coinbase App? How does it work?

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Can You Buy Polkadot on Coinbase App/ Website?

Can You Buy Polkadot on Coinbase?

When it comes to cryptocurrency, there are many options for you. Fortunately, you can buy Polkadot (DOT) with the Coinbase app, only where Coinbase is available. It’s an easy, quick, and secure way.

The polkadot agreement is designed to allow unrelated blockchains to protectively talk to each other to maintain the value and flow between the blockchains without any intermediary. Polkadot is both a token and a decentralized protocol. It is designed to make it scalable and speedy through many parallel blockchains.

DOT serves two important functions within the Polkadot network, first is its Governance token, secondly, for Staking purposes. Here we discuss some steps to buy Polkadot with the Coinbase app for U.S. residents.

What Is Polkadot (DOT)?

Polkadot is an agreement that connects blockchains. A connecting bridge allows data and value to transfer between several blockchains. It can also connect non-blockchain databases. The main blockchain in Polkadot is a “relay chain” and several user-created parallel chains or ‘parachains.”

It allows data to process among the previously conflicting networks (Ethereum and Bitcoin).

What Is Coinbase?

Coinbase is an online platform for safely purchasing, selling, transferring, and holding digital currency. Its aim is to open a new financial system for the world. It would be a leading global brand, which helps people to convert digital currency into their local currency.

Coinbase makes buying and selling digital currency easy. This platform deals with backups and security to protect its customers from scams. The transactions process between friends, online wallets, and merchants on the coin base is free and secure. It is a “one-stop-shop”- they offer an exchange, wallet, and merchant tools within one platform. The Coinbase is a non-custodial user-managed digital currency wallet and dApp (decentralized app). The Coinbase wallet also provides a series of dApps, making their users engage in markets and online games.

How Does Polkadot Work?

Polkadots give their users a framework that forms a bond between the blockchains, interconnects them. Even each of the chains has different functions from one another.

At the center, there is a relay chain. The main blockchain connects all of the blockchains that are participating. At the same time, the relay chain can process all the transactions, with its basic goal of improving stability. User-created blockchains that connect between relay chains are known as Parachains. Polkadot can connect main blockchains, which was not possible before. Based on Nominated Proof-of-stake (NPoS), Polkadot is a method for verifying crypto transactions based on how many DOT each user has put up as collateral. NPoS offers four roles to its users:

1.    Validators:

Users who secure their network by staking their DOT tokens and performing the process of Relay Chain verification.

2.    Collators:

Users who maintain the particular para chain nodes, and history of relay chains, are vital for cross-chain messaging.

3.    Fishermen:

Users with full nodes of parachains but police for invalid transactions.

4.    Nominators:

Users who are the active holders of DOT choose to stake their tokens and don’t want the responsibility of other roles.

How To Buy Polkadot (DOT) On Coinbase?

Polkadot is a safe, secure, and quick platform. Polkadot is easily sold or bought on Coinbase. Coinbase is one of the most reliable places to buy cryptocurrencies.

1.    Create a Coinbase Account

After download, the Coinbase app starts the signup process. All you need is a valid ID, and you may be asked for proof of address. The time of ID verification depends on the area where you live. ID verification may take more than a few minutes, and you have to be patient.

2.     Add A Payment Method

Connect the payment method by clicking on the payment method box. You can use a debit card, bank account, or initiate writing.

3.      Start A Trade

Press ⇆ then select the “Buy” option from the option’s list.

4.      Select Polkadot

In the search bar, type “Polkadot” for searching. When you see Polkadot in the results, click it to open the purchase screen.

5.      Enter The Amount You Want To Buy

Use the number pad to input the amount you want to spend in your local currency. This app will convert that into a Polkadot amount automatically.

6.    Finalize Your Purchase

Click on the option ”Preview buy” when ready. It will show your purchase details on the screen. When you think everything looks good, then confirm your purchase. That’s the final step, you have bought a Polkadot.

Which Is The Best Way To Exchange Polkadots?

Coinbase is far the best way to invest in Polkadot today. It is easy to make a coinbase account to start crypto investment from today. Before your approval, you will need to verify your identity. So you will have to provide your social security number, license number, and home address.

Polkadot (DOT) Price History

Polkadot was launched on October 17, and it released about 10 million dot tokens worth approximately $145 million at the time. In the current supply, tickets are allocated as follow:

Investors held 58.4% tokens, 50% tokens issued in the original token sale, followed by a 5% sale of total supply in 2019, and another sale representing 3.4% of the total supply in the following year. The Web 3 Foundation, whose network runs the Swiss organization, owns 11.6% of the tokens. The founders and founders own 30%.

The best thing about the Polkadot is it does not have any hard limit about its total supply. New dot tokens are consistently released into the market with an annual inflation rate of 10 percent.

DOT price reached a peak of $6.30 after its launch in 2020. Then DOT is between $4 and $5 in the remaining 2020. DOT price hit an all-time high price of $49.80 in May 2021. DOT’s price reached another peak of $44.441 in October 2021.

Conclusion

Polkadot is both a token and a decentralized protocol that is scalable and fast. The DOT can be bought or sold on Coinbase and other exchanges. For Polkadot, Coinbase is the most popular cryptocurrency exchange in the region. This platform deals with backups and security to protect its customers from scams.