What Is Cardano?
Cardano defines itself as a third-generation blockchain and sets a goal to solve the problems that its predecessors could not. It is the first blockchain project that is based on scientific philosophy. Cardano was designed and built by a global team made up of prominent academics and engineers from the blockchain community.
In Cardano's case, three organizations are in charge of its development. The first one is the Cardano Foundation, an independent Swiss-based body with primary responsibility for supporting the community while mediating with regulatory authorities. Another company that works for Cardano is IOHK, leading cryptocurrency research, and development company. The company in charge of the commercial department is Emurgo. It is committed to investing in new companies and assisting commercial companies that want to participate in the Cardano blockchain.
The Cardano platform uses a new algorithm for its Proof of Stake which it has called Ouroboros. This algorithm determines how individual nodes reach a consensus on the blockchain network.
This algorithm is a crucial part of the entire infrastructure that makes ADA cryptocurrency possible, and it is certainly a great innovation in blockchain technology. Ouroboros eliminates the need for an energy-hungry Proof of Work, thus demolishing the barrier that prevents any Blockchain from dramatically expanding.
The level of security that has been demonstrated so far by this algorithm compares to the Bitcoin Blockchain and it has never been compromised.
Cardano is not applied in bulk, it develops in layers. The first layer, CS, acts as the Ledger of the balance sheet and is on the Cardano platform. This layer uses a PoS algorithm to generate new blocks and confirm any transaction.
The CCL, the second layer, contains all the information about what happens to the transactions that are carried out on the platform. Thanks to this layering of the platform, CCL users can create different rules with the help of which they can evaluate transactions.
On the part of the Cardano team, a new programming language is being implemented to develop Smart Contracts in the CCL, the Plutus. To support developers, Cardano will include a referenced library of the Plutus code, so that it can be used in dApps.
Investors can follow the progress of ADA developers through their website. There you can see detailed updates on the progress of the cryptocurrency and the network.
Pros and Cons of Cardano
Cardano (ADA) advantages:
- Cardano is an intelligent open-source transaction platform that aims to solve the current problems of the crypto industry. It offers scalability and security under a layered architecture which gives the system flexibility and ease of maintenance and allows upgrades through soft forks.
- What prevails in the project is that the technology is secure, flexible, and, above all, scalable for supporting millions of users around the world. A considerable number of experts in the field have devoted all their attention to developing this third-generation cryptocurrency.
- One of the main innovations of the Cardano platform is the possibility of balancing the needs of users with that of regulators. If the Cardano team manages to combine that privacy with regulation, it will be a historic milestone in the crypto world.
Cardano (ADA) disadvantages:
- For many investors, the system proposed by Cardano may seem too complicated, and they might prefer to position themselves in favor of more simple and successful projects.
- Since Cardano is supported by three different companies, any disagreement between them may result in unpleasant consequences for its users.
Where to Buy Cardano?
ADA can currently be found in most exchange houses and in a wide variety of exchange pairs. It can be purchased directly with euros or dollars at the Kraken exchange house or places like Binance, Exmo, and HitBTC. You may also exchange other cryptocurrencies like USDT to ADA on Huobi Global, BKEX, and CoinEx.
Storing ADA: Best Cardano Wallets
Cardano has developed a highly secure wallet of its own called Daedalus. Daedalus will add more cryptocurrencies and will develop with Cardano over time, to become a universal wallet, a blockchain application platform, and an application store. With the new updates, the Emurgo team has developed Yoroi, the lightweight wallet for the ADA native currency, a dynamic and friendly wallet in extension mode for Chrome and Firefox. Both Daedalus and Yoroi allow the use of hardware wallets, such as Ledger and Trezor, to guarantee a high degree of security in the custody of your assets.