PolkaBridge: Bridging Polkadot to Other Chains
If you’re interested in making transactions across multiple blockchains, then prepare to deal with different exchanges and third-party tools, which can get hectic.
But there’s a platform designed to make this process easier for you. It’s called PolkaBridge, and it’s quickly gaining popularity due to its unique offerings.
Don’t know much about it? Then you’re in the right place because we’re going to explain everything about how PolkaBridge works, the products in its ecosystem and whether its token is worth buying or not.
What Is PolkaBridge?
PolkaBridge is a decentralized financial application platform powered by the Polkadot blockchain. In simple terms, it’s a metaphorical bridge that connects Polkadot to multiple blockchains.
It aims to unify various blockchains so that you can perform transactions, farm, yield, invest in NFTs and more, all on a single platform. The purpose is to reduce the need for centralized organizations and third-party services that you currently need if you want to make transactions across multiple blockchains.
It also serves as a decentralized exchange (DEX) that you can use to swap coins.
On top of that, the PolkaBridge team has created an entire ecosystem to fulfill its goal of making multi-chain and cross-chain transfers easier for users.
What Is the PBR Token?
PBR is PolkaBridge’s native token. It’s an ERC-20 token, currently on the Ethereum blockchain. You need PBR tokens to pay fees while making transactions on the PolkaBridge platform, for staking, participating in launchpad IDO (more on this later), etc. It’s also used for governance, whereby PBR token holders can vote for changes in the PolkaBridge ecosystem.
The PolkaBridge ecosystem has many products that link Polkadot with other blockchains. Here are some of those that are either already launched or coming soon.
PolkaBridge Automated Market Maker (AMM)
Here, you can automatically trade or swap assets, such as tokens and coins, through liquidity pools instead of offering, bidding, or buying from sellers.
There are two types of automated market makers (AMMs) in the PolkaBridge ecosystem.
The multi-chain AMM is PolkaBridge’s main product, with a similar interface to Uniswap’s. It allows you to trade tokens on multiple blockchains simultaneously from the same platform. You’ll have to pay a 0.2% fee per swap, whereby 20% of the fees will be used for AMM “buyback and burn” to burn some PBR tokens monthly.
This is an AMM extension, with a cross-swap function, that’s set to launch in the near future. It aims to remove the extra steps you have to go through to swap an asset of one blockchain with that of another.
PolkaBridge plans on making cross-chain swaps possible by running two smart contracts simultaneously on both blockchains.
For example, with the multi-chain AMM, you can convert your BNB Coin to PBR on the BNB Chain and swap your Ether (ETH) to PBR on the Ethereum blockchain in a single platform. But you won’t be able to swap BNB for ETH, as they run on different blockchains. However, when the cross-chain AMM launches, you’ll be able to switch BNB with ETH, and vice versa.
Do you see? This feature, which hasn’t yet launched, has the potential to act as a true bridge between multiple blockchains, and make these transactions a lot faster and smoother for users.
With most DEXs, like PancakeSwap and SushiSwap, you can only stake a specific blockchain-based token in their own blockchain liquidity pools. But PolkaBridge provides multi-chain staking, which gives you the freedom to stake your PBR tokens on different blockchain pools for more rewards.
PolkaBridge’s deflationary farming mechanism is ideal for ensuring that the supply of PBR decreases over time while its value increases.
The platform takes a 0.5% fee from each on-chain PBR transaction, and distributes 90% of it among the liquidity providers or “farmers” who’ve staked their coins or tokens in the pool, instead of rewarding them with more PBR tokens.
PolkaBridge Launchpad, also called IDO launchpad, allows PBR token holders to join lucrative crypto projects deployed on multiple blockchain platforms at the very beginning.
A great feature of this launchpad is that each project listed here is vetted by its team, so all you have to do is choose the one you like and invest in it, instead of manually looking at its dev team and authenticity.
Initial NFT Offering (INO)
The PolkaBridge INO is a way for you to support NFT artists and fund their projects. It links artists and enterprises directly with their supporters, and allows them to form communities around their NFT projects and interact with their audiences.
The INO operates through individual NFT pools, which offer packages containing limited edition NFTs available only for a limited period. You’ll first need to stake 1,000 PBR to buy the NFT package, and can only buy up to five packages, individually.
More Features Expected to Be Added to the PolkaBridge Ecosystem
The PolkaBridge blockchain plans on being the go-to place for all crypto transactions, swaps, NFT projects and more.
Here are a few more projects they’re planning on launching in the future:
- Decentralized peer-to-peer (P2P) exchange (to allow users to trade fiat to crypto and back through a trustless smart contract).
- PolkaBridge Insights Platform (a content creation and distribution platform).
- Lending and Prediction (a platform for users to lend assets for interest, and for borrowers to gain access to the assets for an interest rate. The platform will also enable users to bet on real-world events and earn rewards.)
The PBR token has a market cap of around $$4,302,921 as of Aug. 28, 2022. Its max supply is 100 million PBR, with a total supply of nearly 76,264,425 PBR. The circulating supply is around 64,263,324 PBR at the time of writing of this article (Sept. 2, 2022). The token is burned monthly through the AMM “buyback and burn” strategy, and features like PolkaBridge’s deflationary farming aid in constantly reducing the token supply.
One PBR is currently priced at around $0.067, while its 24-hour trading volume is close to $687,335 ( as of Sept. 2, 2022).
If you look at PBR’s price history, you’ll notice that it’s been relatively steady since its launch, except for a marked price hike between November 2021 to December of the same year.
PolkaBridge Price Prediction: Is PBR Coin a Good Investment?
All cryptocurrencies are risky. There have been some concerns about this project being a rug pull scam, causing certain experts to paint a gloomy future for PBR. However, other experts anticipate a price hike for this coin because of its multi-chain capabilities, which will attract more adoption from other blockchains.
Experts at DigitalCoinPrice predict the PolkaBridge price to reach $0.12 in 2025 and rise steadily for the next decade.
TechNewsLeader is also bullish about PBR tokens, predicting an increase in value from the current price of around $0.0747 to about $0.30 in 2025.
Where to Buy PolkaBridge (PBR)
PBR Coin is currently listed on only a few cryptocurrency exchanges, such as Uniswap and 1inch Exchange. You can also buy PBR tokens by swapping them for coins of other blockchains on the PolkaBridge DEX.
As of August 2022, you can’t buy PBR directly with fiat currencies such as the Hong Kong dollar and U.S. dollar. Therefore, you must first convert those currencies into ETH, USDT or AAVE, etc., on any centralized or decentralized exchange. Then, transfer them to your wallet and import the crypto coins later to the PolkaBridge DEX to buy PolkaBridge tokens.
So far, the PolkaBridge platform shows a lot of promise with its unique products and utilities for its token. However, since some of its features haven’t been launched yet, we’ll have to wait and see if it can become a genuinely unified decentralized platform for multiple blockchains and offer its users all of the benefits it promises.