Auction hard, and party harder. That seems to be the theme of the week as the Polkadot community celebrates the end of the first batch of parachain auctions. Members also cheered the winners who were onboarded on 18 December.
Now, CoinShares’ Digital Asset Fund Flows Weekly report reveals the aftermath of the auctions.
A ‘Para’ millions
The report for the week ending 17 December revealed inflows of $2.5 million for Polkadot, even as digital assets across the board saw significant outflows of around $142 million. This came after seventeen consecutive weeks of inflows. The report noted,
“Bitcoin saw outflows totalling US$89m, well below the outflows seen in June where they were as much as US$150m. Ethereum saw record outflows totalling US$64m and has in the past countered Bitcoin’s outflows.”
Interestingly, the report added,
“Other altcoins softened the blow with Solana, Polkadot and multi-asset investment products seeing in flows totaling US$6.7m, US$2.5m and US$1.5m respectively.”
All in all, it seems as though Polkadot and the other alts played the role of a cushion as inflows came down – hard.
One’s loss is another’s “chain”
“The majority of outflows came in the latter half of the week, but it may also be due to uncertainty surrounding the parachain auctions which finalize on 17th December.”
Now, however, it seems that investors’ confidence is rising once more. At press time, DOT was trading at $24.64, having risen by 3.67% in the last 24 hours.
An “auction” packed time
It wouldn’t do to get too comfortable as the Polkadot ecosystem gears up again for the next batch of parachain slot auctions. One determined competitor is Efinity, which did not win the fifth auction. However, the “NFT superhighway” made it clear it was revving up for Batch 2. As of press time, the crowd-loan was accepting contributions.
Slot 5 was a tight race thanks to our incredible community's support 💙
— Enjin | We're Hiring! (@enjin) December 16, 2021