Blockchain is the latest technology, interest in which arose with the advent of the first cryptocurrency in 2009. Although the technology itself appeared long before this moment. And now we can observe how the formation of a new generation is taking place - Web 3.0 Internet, which will be very different from what we have been used to seeing for the last 20 years.
One of the key distinguishing features of Web 3.0 is the widespread use of blockchain technologies. Therefore, now developers are trying and creating new blockchain projects. In this article, we would like to focus your attention on such a project as Cardano.
What is Cardano?
Cardano is a decentralized blockchain platform based on open source smart contracts, launched in September 2017 by Blockchain Development Output Hong Kong (IOHK) and one of the founders of Ethereum, Charles Hoskinson.
In 2014, Charles Hoskinson left Ethereum and co-founded the Cardano project with Jeremy Wood. This year can be called the year of the project's inception. Moreover three independent organizations were created in this time: Input Output Hong Kong (later Input Output Global), Cardano Foundation and Emurgo.
Cardano was launched 3 years later, in September 2017. Charles is a great books lover, farmer, traveler and, most importantly,cryptocurrency enthusiast. He supports the ideas of Satoshi Nakamoto. Basically, Charles sees cryptocurrencies as a way to get rid of inefficient and expensive intermediaries and provide decentralization to those who need it most.
Such an approach is rare today, because many influencers are too fixated on charts and speculation. Cardano can be considered a project based on the original ideals of Bitcoin.
Cardano is an open source decentralized blockchain platform. The platform is built on a Proof-Of-Stake (PoS) consensus mechanism. It is worth mentioning that this platform is written in the Haskell programming language.
Cardano: ADA coin
Its ADA coin is among the top ten cryptocurrencies by market capitalization and is located after Bitcoin, Ethereum, Binance Coin, XRP and Tether. ADA coins appeared on the market in the period from October 2015 to January 2017, mainly in Asia, due to the lack of strict blockchain regulations there and the growing popularity of ICO.
ADA can be bought on Coinbase, Binance, Crypto.com , Uphold and other exchanges on which this coin was listed.
What is special about Cardano?
- The Ouroboros protocol
Minimal energy costs for processing transactions in Cardano are achieved through the Ouroboros protocol. A whole group of scientists worked on the creation of the Ouroboros consensus mechanism: it was built on peer-reviewed research conducted by cryptographers from several world-renowned universities. Among them are Edinburgh and Tokyo.
- Multilayered blockchain
Another feature of Cardano is the division of the blockchain into several layers. The first layer, which is called CSL (Cardano Settlement Layer), is responsible for the balances of blockchain users and for its economy as a whole. The second layer is CCL (Cardano Control Level), it contains all regulatory tools and all the functionality of smart contracts.
What gives the division of the blockchain into layers?
Separate update of each of the layers, which allows you to maintain high throughput of the entire network;
- Increase the confidentiality of transactions
The platform is written in one of the most stable programming languages - Haskell.
Cardano Storage Wallets
The project has its own official wallet. It's called Deadalus.
- Supports only this cryptocurrency (such wallets are called mono-currency);
- To use it, you will need to download a full copy of the Cardano blockchain, which takes about 6 GB;
- You can create any number of addresses for a wallet;
- In addition to the "native" wallet, you can store AD on other wallets.
So far, 2021 remains the most profitable year for Cardano and its investors. Hoskinson and Wood's project topped the developer activity rating.
Summarizing all of the above, when making a decision to purchase ADA, it is worth bearing in mind the following:
- Environmental friendliness of the project
Since today everything that has the prefix "eco" is considered an absolute trend, it can play into the hands of Cardano developers;
- Serious competition
Cardano decided to compete in its bandwidth not with anyone, but with Ethereum. On the other hand, there are former Ethereum employees among the Cardano developers. This is also worth taking into account;
- A downtrend
Since ADA reached its ATH in September 2021, the price of the coin has been slowly but surely falling;
All these references to poets and mathematicians are a noble cause, but they are designed for a narrow circle of people;
- Capitalization of assets in staking
According to this indicator, ADA is second only to Ethereum and Solana. A huge number of investors trust the coin.