Acala network is a decentralized financial network that provides liquidity options for the Polkadot network. The Polkadot network recently hosted an auction for selecting the top candidates for its parachain launch. It is worth noting that parachain is an extension of the blockchain ecosystem that allows the network to expand and interconnect with other independent ecosystems.
During this parachain auction event, more than 81K stakeholders from Polkadot participated and locked in their crowdloan. The results from the auction were recently announced by Polkadot on its official Twitter account. The tweet congratulated the Acala network team and made it official that the onboarding of the first parachain will commence at 8179200 block height.
The big win of the Acala network is not a big surprise; the crypto community members started to debate on the matter from last week when more than $600 million funds were locked in on Acala. However, at the end of the auction, the Acala network had managed to amass 32.5 million or $1.2 billion worth of DOT tokens. According to the management of the Polkadot, these funds are going to be useful for making progress on several projects.
Acala network is not the only winner, there five other runners-ups that are going to be able to work on the parachain project in association with the Polkadot network. The most important and highly anticipated application of the Acala and Polkadot partnership is the launch of a new decentralized exchange platform, or DEX. The stakeholders are also looking forward to the new stablecoin token that is going to come out of the merger.
Moonbeam is the second top contender that has been able to amass a staggering 5 million transactions on the network. However, Moonbeam is going to initiate a parachain project on the Kusama network, which is a sister project of the Polkadot blockchain. The auction took years of planning and preparations to become a reality, and now the developers will be able to connect independent blockchain projects with Polkadot for adding more features.
According to the developers, the real work will begin for them from Dec 18th, when the first parachain bridge will go live on the network. By 2022, the developers will be able to introduce a liquid DOT coin called LDOT, which is a staking option. The next step is to set up the first decentralized stablecoin called eUSD. There are also plans for EVM development space and an AMM like DEX. The developers of the Acala network are excited about its first on-chain governance protocol.