I have some BIG questions about polkadot, I hope someone can answer them.
1. The top 10 richest DOT addresses have more then 1/4 of total DOT supply. I don’t call this a decentralised cryptocurrency because of this reason. But who controls them? Can they create a massive dump whenever they please?
If they control 1/4 then obviously then can collude with each other to bring the price down, that's possible.
2. How can they offer a +10% staking rewards when already 9/10 of total supply is reached? How is that sustainable? Will staking only be available this year? Will they create more coins out of thin air?
I haven't look at the model though, but yes, it's possible that they can create more coins as this is much as centralized as other coins there.
Week ago price was $9.36. But now it became $17+ out of nowhere without any project announcement. So my take on DOT is pump and dump kinda coin. A very risky investment for the long terms.
That's what altcoin market is, the usually pump-and-dump, and the growth is not sustainable unless we are in a bull run. And many noobs get trap once the price goes down and tank.