Hello dear readers, the new year approaches and Polkadot’s parachain auctions are in full swing. Efinity is on track to landing Polkadot’s sixth parachain slot on December 30. If they win, Efinity’s future on Polkadot’s network will be solidified before the end of the year.
Polkadot’s Parachain Auctions
They’re currently sitting high in the first of Polkadot’s second batch of parachain auctions with over 6 million $DOT staked to their crowdloan from 6,961 contributors, totalling over $300 million dollars pledged to their auction. Below them in second place is Composable Finance with around 4 million $DOT and 4,666 contributors.
Efinity is striving to be the chain custom designed for rapid NFT transactions and low fees, and they’re including it in Polkadot’s parachain network. Polkadot is essentially a network of independent, specialized blockchains designed around efficiency and specific use cases all attached to a central blockchain – called the Relay chain – optimized for security. Naturally, the details are more complex.
Efinity’s lead in the auctions comes after a neck and neck battle with Clover Finance in the last auction of batch 1, with Clover eventually surpassing Efinity by about 1 million DOT. All contributions from batch 1 carried over to batch 2, which put Efinity in the lead after the previous batch’s face off.
Impressive Incentives
They also added many incentives to sweeten the pot for contributors. Yesterday Enjin announced a 1000 ENJ giveaway to those who enter the crowdloan. Contributors will be randomly selected today, and 12 people will win 50 ENJ, two will win 100, and one will win the grand 200 ENJ prize. Unfortunately for many countries including the United States, this giveaway is impossible due to legal reasons. But the VPN is a magical tool. DYOR of course.
Other incentives involve teaming up with rival projects also competing for a parachain slot, at first a bit of a surprise until it turns out the collaborations make perfect sense.
Further Collaborations
Last week Enjin partnered with Equilibrium, a cross-chain DeFi platform allowing users to stake DOT for xDOT and their native EQ token. Equilibrium is also in the running for a parachain slot in the Polkadot auction. The collaboration is mutually beneficial – both parties benefit from each other’s audiences, and Efinity contributors now have EQ in their wallets and Equilibrium gets a new user. In this case specifically, the Efinity fans don’t have to lose any liquidity if staking through Equilibrium. The xDOT has extra uses of course.
How staking with Equilibrium works (Graphic from the Equilibrium website)
Another rivalry-turned collaboration came from Parallel Finance, who also offered a way to stake DOT on their platform in exchange for their PARA token. The promotion ended on December 23, but users can still use the platform to stake their DOT. Parallel Finance won the third auction of the first batch a few weeks ago.
The tinge of Hunger Games-like alliances is swept away by the unironically WAGMI spirit embodying the auction culture, a good omen for a collaborative future among Polkadot projects.
The auction ends in just a day, look out for any last minute incentives that might come down the pipeline.
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*All investment/financial opinions expressed by NFT Plazas are from the personal research and experience of our site moderators and are intended as educational material only. Individuals are required to fully research any product prior to making any kind of investment.
The post Enjin Room: Efinity’s Road to Parachain Victory is Paved with Good Incentives appeared first on NFT Plazas.
