XRP which has been the fourth largest in crypto charts, has suddenly gotten a replacement from DOT. The recent crypto market rally has pushed the token up by big movers.
From an analysis done by Coingecko, Dot has replaced Ripple in market capitalization with a gain of 26% in a period of 24 hours. So far, it is the largest cryptocurrency in terms of market cap.
The Polkadot token has taken strides in moving up the ladder from $11 to an all-time high of $14.80 before finally retreating at $14.45. The price change has made its market cap to move to $13.7 billion according to Coingecko.
In contrast, XRP has gained by 3.7% in 24 hours which has not impacted the market cap. The price difference has not been significant to take the cross-border transfer token above $0.30. Its market cap is at $13.5 billion, which is slightly lower than that of DOT.
Are the stats accurate?
Polkadot’s platform suggests that the market cap may be higher at approximately $14.8 billion as there is a circulation of over one billion tokens in the market. The platform’s estimate is similar to that of Messari crypto stats in terms of numbers. It also shows that there is a $3 billion market cap difference between DOT and XRP.
Even though two platforms are along the same line, Coinmarketcap is owned by Binance that disagrees the notion that DOT is higher. Coinmarketcap reports that DOT supply is lower by 10%. According to CMC, Polkadot does not have a really high ranking.
What is Polkadot?
Polkadot is a protocol with multiple chains referred to as parachains and worked on their own technology in the blockchain framework known as Substrate. The platform has been made such that it is interoperable, making it possible for other blockchains to link to the network as a side chain. The protocol is Ethereum’s competitor as it can process thousands of transactions per second, which Ethereum blockchain cannot do.
The uniqueness of the platform has made it to gain traction in no time. The recent update is the Rococo parachain testnet launched in December and is getting a lot of interest from the Polkadot community. Another factor that gives it an edge is a demand for scaling which the platform fulfils.