Skip to main content
Skip to main content
Polkadot logo

The Launch of Parachains

The staged launch of Polkadot is about to reach another chapter. As we approach the launch of parachain functionality and the auctions and crowd-loans behind them, let’s look at what’s coming.

By Dr. Gavin WoodMay 18, 2021

The staged launch of Polkadot is about to reach another chapter. As we approach the launch of parachain functionality and the auctions and crowd-loans behind them, let’s look at what’s coming.

The launch of Polkadot began around ten months ago with the first four phases; the last — a move to complete decentralisation and permissionlessness — happened finally at the end of July last year. Now, phase five, the final phase in the launch of Polkadot is beginning.

Polkadot is a heterogeneous scalable multichain. In its brief history, Polkadot has demonstrated a highly decentralised and inclusive staking system (anyone with as little as 1 DOT may take part in Polkadot’s staking system and be rewarded), seamless upgrades to its core logic and open, functional governance. However it has so far existed only as a single chain in isolation. With the launch of parachain functionality, this is about to change and the final vision of a heterogeneously sharded system is about to become reality.

Last week, Parity Technologies (the core team behind the development of Polkadot’s initial implementation) released Polkadot version 0.9 and with it a huge step forward. This release, now being run by the vast majority of the Kusama network, includes the requisite logic for deploying parachains to the network. It also includes the final logic for running parachain slot auctions and logic for crowdloans which can be used to crowd-fund the auction bids. Kusama has already been upgraded to the logic contained in this release (v9010) and so is now finally ready to host parachains.

The Timetable

Polkadot’s parachains launch is expected to begin once two things have happened: firstly, a full external audit should be completed on all new logic. Secondly, the Kusama canary network should have demonstrated that the new logic works in the wild by executing at least one successful auction involving crowdloans and hosting at least one functional parachain.

The audit in question has already begun and we expect it to be completed in the near future. The road to getting everything started on Kusama has already begun and is expected to be completed over the coming days in three steps.

First, a Shell parachain will be deployed to it, which was just approved by governance today. The Shell parachain is an “empty” parachain — it produces blocks, but has no functionality beyond being upgradable. It has no concept of user accounts, staking, governance or balances. It doesn’t even have the time-stamping module to understand “time”. Instead, all it does is listen out for a message coming from the Relay Chain’s governance apparatus authorizing it to upgrade. When such a message is received, the Shell parachain will allow itself to be upgraded to whatever new logic the Relay Chain has authorized. It is our staging ground, and as the first common-good parachain, it will be given identity 1,000 (the first system parachain will have identity 0). This requires a full governance motion and referendum which was already passed today.

The second step is to do such an upgrade. In this case, governance will vote to upgrade the Shell parachain to become the Statemine parachain. Statemine is the Kusama instance of Polkadot’s Statemint parachain, a common-good chain which allows the hosting of arbitrary assets, both fungible and non-fungible. It also serves as a low-cost chain for keeping and transferring the Relay Chain’s native token (KSM/DOT).

We will propose the upgrade once we have seen 24 hours of the Shell parachain running without any issues and once the same upgrade has been successfully conducted on the Westend testnet. The upgrade will require a full governance motion and referendum just like the initial deployment.

The third step is to begin the auctions. The network will do this once it has demonstrated that parachains with transactions and consensus work well on the Kusama network with its highly decentralised 900 validators. We have already tested this on the Rococo testnet, however Kusama presents a somewhat less uniform foundation. Seeing Statemine work properly will provide the confidence that any third-party teams’ chains will also work correctly.

Much of the KSM pool is currently locked in Kusama’s staking system and cannot be moved without seven days notice. The Kusama website will therefore announce the first auction’s start date one week in advance, and along with it the expected timetable for further auctions. At present, the network is expected to commit to five auctions, each seven days apart. If no major issues are discovered, then further auctions can be made following them. After Kusama’s first auctions complete successfully, one would expect Polkadot’s auctions to happen soon after. When the final parameters of auctions have been determined, they will be published alongside the auction schedule.

The Future

For the next two months, effort will be directed towards reliability, refactoring and performance. At present, transaction volume is intentionally capped to a conservative limit in order to minimise the chances of any systemic issues spanning from the current unoptimised implementation. Instead of around 2,000 milliseconds of work being executed within each block, the network only allows for 500 milliseconds, thereby reducing the effective transaction volume by more than 75%. As the code becomes faster and more robust, these artificial limits will be lifted and transaction volume will increase toward its theoretical limits.

Following this restive period there are three new features, beyond those originally envisioned, in focus for Polkadot: Parathreads, Off-chain XCMP and Spree. While work on all three will happen simultaneously, Parathreads will likely see the first release of the features and Spree, owing to its complexity, the last.

The feature of Parathreads has already had some great articles written about it, such as this one. Put simply, Parathreads are pay-as-you-go parachains — they don’t require the parachain team to win a parachain slot auction (or be accepted as a common-good parachain), rather the parachain code can just pay directly for each individual block it wishes to author. In the case that the parachain needs to author a block seldom (such as an oracle chain) or to author blocks only during particular periods, then the ability to author blocks without winning a permanent slot for 6 months at a time is very attractive.

Off-chain XCMP is an upgrade to the basic XCMP that was released with the 0.9 series. Whereas the basic XCMP allows messages to be passed between parachains by routing the message data through the Relay-chain, Off-chain XCMP achieves the same thing while routing data directly between the two parachains’ collators. This means that the Relay Chain no longer sits as a bottleneck for message passing and makes it all highly scalable, yet retains the same level of security and decentralisation.

Finally, Spree, also known as Secure Protected Runtime Execution Enclaves, is a feature allowing the same piece of logic to be securely and homogeneously sharded across all parachains. This allows parachains which do not trust each other’s business logic or governance apparatus to nonetheless interact. Moving tokens between stranger-chains, maintaining the properties of NFTs as they migrate between chains and even sharing smart-contracts can all be achieved using this functionality.

If you are a service provider in the Polkadot ecosystem and are unsure what this all means for you, please contact support@polkadot.network. You can watch what is happening with parachains, auctions and crowdloans on Polkadot.js. Chat about this and more on Element in the Polkadot Watercooler.

From the blog

Security isn’t optional: What builders are factoring into chain choice

Security is no longer an afterthought in blockchain development. Builders are looking beyond incentives to long-term infrastructure stability. Here's why resiliency is critical and how the Polkadot Assurance Legion is helping developers launch safely.

How to set up a Polkadot wallet: A step-by-step guide

New to Polkadot? This beginner-friendly guide walks you through how to set up a Polkadot-compatible wallet, from choosing the right option to securing your seed phrase and getting started with staking and managing your DOT.

What is a DAO? How decentralized communities are reshaping governance

DAOs are changing how communities organize online. Learn what a DAO is, how decentralized governance works, the different types of DAOs, and how you can participate in blockchain-powered decision-making.

Governance, side by side: Polkadot, Ethereum, and NEAR

Decentralized Mic pulled together experts from leading experts from Polkadot, Ethereum, and NEAR to discuss decentralized decision-making approaches, address participation challenges, and explore the potential impact of AI on future governance models.

Where real-world value meets access: How Polkadot powers RWA and DePIN

Polkadot is making real-world assets and infrastructure accessible through tokenization, unlocking new opportunities in finance and energy for everyday participants and communities.

Understanding DeFi: A starter guide to decentralized finance

DeFi transforms traditional finance by replacing banks and brokers with smart contracts on blockchain networks. Discover how dapps enable lending, trading, and earning interest without intermediaries—and how Polkadot’s interoperability brings these tools together for a connected financial future.

The evolution of digital ownership: How tokenization is transforming gaming, music, and beyond

Tokenization is redefining digital ownership in gaming and music, enabling players and artists to control their assets. With blockchain, NFTs, and Polkadot’s interoperability, digital economies are becoming more decentralized, secure, and accessible.

Web3 funding playbook for builders, creators, and founders

Discover funding opportunities in the Polkadot ecosystem, from grants and bounties to venture capital and community-driven fundraising. Explore pathways for builders at every stage, with insights on securing support for DeFi, DePIN, AI, gaming, and real-world asset tokenization.

From speculation to sustainability: Top ETHDenver takeaways

ETHDenver 2025 highlighted Web3’s shift toward sustainability, emphasizing talent development, decentralized governance, and aligned incentives. Polkadot’s insights reinforced the industry’s move beyond speculation toward long-term, community-driven growth.

Build, Play, Connect: Join Polkadot at ETHDenver 2025

Get ready for ETHDenver 2025 with Polkadot! Join Polkadot for keynotes, hacker houses & parties, immersive booth experiences, and hands-on workshops. Whether you’re building, playing, or connecting, there’s something for everyone at one of blockchain’s biggest events.

The most impactful blockchain use cases in 2025 and why Polkadot is leading the way

Explore the top blockchain trends of 2025, from decentralized AI and tokenized assets to enterprise adoption and Web3 gaming. Learn how projects powered by Polkadot are shaping the future of finance, infrastructure, and digital identity.

Decentralization’s ripple effect: How Web3 is rewriting digital sovereignty

Centralized platforms dictate access, control data, and pose security risks, leaving individuals without control over their digital presence. Decentralization offers a resilient alternative, paving the way to a digitally sovereign future.