Polkadot now supports smart contracts.They can be created using Ethereum compatible tooling.The hope is Polkadot can entice Ethereum developers.
Polkadot’s highly anticipated smart contract upgrade is off to a slow start.
The functionality that powers DeFi exchanges and lending protocols, and is a staple of rival blockchains Ethereum and Solana, went live on the Polkadot Hub developer platform on January 27.
One week on, however, and developers have deployed just 19 contracts, per Subscan data.
Ethereum, the largest smart contract-enabled blockchain, hosts tens of millions of contracts and saw over 160,000 new ones deployed last week, according to Token Terminal data.
Solana, the next biggest blockchain, added 545 new contracts.
Polkadot should soon start closing the gap, the development firm behind the $2.4 billion blockchain said.
“Our focus is on a battle-tested foundation,” a Parity Technologies spokesperson told DL News, adding that partnerships and developer programmes tied to smart contracts have not surfaced yet.
“Activity will ramp as the release matures and integrations and initiatives go in the weeks ahead,” they said.
The addition of native smart contracts is the latest attempt to turn around the ailing Polkadot blockchain.
Created in 2016 by Ethereum co-founder Gavin Wood, Polkadot was envisioned to be the “blockchain of blockchains” that would overcome key limitations holding back Bitcoin and Ethereum.
Yet Polkadot has suffered from slow adoption, made worse by multiple strategic pivots over the years.
To add to the blockchain’s woes, Parity has been accused of wasting money by hiring expensive executives with multi-six-figure salaries, and the blockchain itself overspending on marketing.
All the while, the value of Polkadot’s native DOT token has crumbled.
It has plunged 97% from its all-time high, and hit an all-time low of $1.44 on February 3.
Currently, Ethereum dominates smart contract development.
It has a large developer base, and most tools, such as Hardhat, Foundry, and the Solidity programming language, excel at Ethereum compatibility.
Because of this, many new blockchains aim for Ethereum compatibility to attract developers and make it easier for them to redeploy existing Ethereum DeFi protocols.
Polkadot, however, was previously not Ethereum-compatible. Developers could only deploy smart contracts on so-called Polkadot parachains, which fragmented the ecosystem and added complexity for users.
The new functionality lets developers deploy smart contracts directly on Polkadot, either using Ethereum-compatible tools or using the blockchain’s own architecture.
“If you’re already building with Solidity, the experience will feel familiar,” Parity said in an X post announcing the smart contract upgrade.
The hope is that by making itself Ethereum compatible, Polkadot can encourage Ethereum developers to build on the blockchain.
Yet some critics say the push for Ethereum compatibility is misguided.
“If they treated this as a side project and didn’t sacrifice a whole lot of other things like Ink, then it may make sense. But that’s not the case,” Wei Tang, previously a core developer for Ethereum and Polkadot, said on X.
Ink is the primary Rust-based smart contract language for the Polkadot ecosystem. Rust is the main smart contract language used on Solana. Development and maintenance of Ink effectively ended in January due to a lack of funding.
In effect, Polkadot is trading compatibility with Solana for Ethereum.
The problem, Tang said, is that the implementation is built on a misunderstanding of Ethereum compatibility, resulting in slower transactions than anticipated.
“Even if they implement everything to the very end of their roadmap, it wouldn’t be faster than Ethereum layer 2s,” Tang said.
Still, Parity is confident it will be proven right in the end — even if adoption is currently slow.
“Early on-chain metrics mean little at this stage,” the Parity spokesperson said. “Protocol releases are slow to roll out while developers test cautiously in today’s market.”
“We remain patient; our focus doesn’t waver.”
