Polkadot’s Smart Contract Upgrade Sees Slow Adoption

Polkadot's Ethereum pivot with native smart contracts sees slow adoption and token lows.

  • Polkadot has launched native smart contracts, aiming to attract developers from chains like Ethereum.
  • The initial adoption has been slow, with only 19 contracts deployed in the first week.
  • The move pivots the chain towards Ethereum compatibility, while deprioritizing its Rust-based language Ink.
  • The DOT token is trading near its all-time low, down 97% from its peak.

The Polkadot blockchain’s long-awaited native smart contract capability went live on January 27, marking a pivotal strategic shift. This move directly targets the developer ecosystems of rivals like Ethereum and Solana.

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However, the rollout has garnered lukewarm initial interest. Developers have deployed just 19 contracts in the first week, according to Subscan data.

In stark contrast, Ethereum saw over 160,000 new contracts deployed last week. Solana added 545 new contracts in the same period.

The new functionality allows contracts to be built using Ethereum-compatible tooling. “If you’re already building with Solidity, the experience will feel familiar,” Parity Technologies said.

Consequently, this represents a significant pivot for the network. It essentially trades compatibility with Solana‘s Rust-based development for a focus on Ethereum developers.

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This shift follows the effective end of development for Ink, Polkadot’s native Rust smart contract language. Critics, like former core developer Wei Tang, argue the Ethereum-compatible implementation is flawed.

Tang said on X that “it wouldn’t be faster than Ethereum layer 2s.” He believes the project misunderstood key technical requirements.

Meanwhile, Polkadot faces broader challenges beyond developer adoption. Its DOT token recently hit an all-time low of $1.44.

Parity Technologies, the development firm behind the blockchain, remains patient. A spokesperson stated, “Early on-chain metrics mean little at this stage.”

They emphasized that activity should ramp up as integrations are finalized. The focus is on building a “battle-tested foundation” for future growth.

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