What is Cardano?
What is Cardano?
Cardano is making a storm on the market, attracting much attention from people. So what is Cardano? This is a common question that many participants of the crypto market need to answer.
Cardano is an open-source project developed by Charles Hoskinson – one of the Ethereum team members. Cardano started its ICO in 2016, took a year to develop, and recently launched its Bittrex exchange in October 2017.
ADA coin is the official cryptocurrency of the Cardano platform.
Cardano platform supports the Smart Contract, building a team of experienced members to improve transaction speeds and be resistant to quantum computers. It is considered as the 3rd generation blockchain. Bitcoin is the first generation blockchain, Ethereum is the 2nd generation. Ethereum is the leading technology in the blockchain generation 2.0, so it is very rudimentary. Currently, Ethereum must rely on the management system to upgrade and expand. With a blockchain 3.0 project like Cardano, developers can spot the disadvantages and disadvantages of previous projects to build better networks.
The elements that make up the Cardano ecosystem include an advance blockchain network, ADA coin like material, and Daedalus wallet to be the shield.
ADA Coin is a digital currency born to serve as the material for the Cardano platform: ADA coin will pay for transaction calculation costs, against Ddos attacks …
The project went through 4 stages of ICO from September 2015 to January 2017. Cardano was dubbed the “Japanese Ethereum” because 95% of the contributor is Japanese, 2.56% is Korean and 2.39% is Chinese. The ICO phase offered a total of 26 billion ADA coin in the total supply of 45 billion. Completing the ICO, Cardano has raised $ 63 million and market capitalization reached nearly $ 109 million. ADA tokens are currently offered primarily on Bittrex with few Japanese investors.
This is a project with a clear division of duties, avoiding overlaps and conflicts of interest, including the combination of three development organizations:
- Cardano Foundation plays a role in promoting the project and developing an application platform.
- IOHK: plays a key role in setting up the system, with CEO Charles Hoskinson, one of the founders of Ethereum. This project is highly appreciated for its security and network scalability. IOHK is responsible for developing and finalizing the technology platform until 2020.
- Emurgo: a trading partner that promotes Cardano’s development process by sponsoring startups to build platform applications for Cardano.
- Cardano was developed to overcome the weaknesses of Bitcoin and Ethereum by giving out outstanding features.
- The system is separated into two independent layers to ensure the security and speed of the system.
- The project uses PoS which avoids costly power costs and reaches a quick consensus process.
- The upgrade mechanism does not affect the community like Bitcoin’s hard fork. The development team includes many experienced scientists and programmers from around the world.
Features that can make Cardano be a direct opponent to Ethereum
With the debut of latter, yet a very well-invested platform, a thriving development team, Cardano emerged as a direct competitor of Ethereum on the race to become a force in the cryptocurrency market.
The main difference between Cardano and Bitcoin is the Proof mechanism. Bitcoin uses PoW (Proof-of-Work) while Cardano uses PoS (Proof-of-Stake). The Cardano network contains two elements that allow it flexible and easy to upgrade:
- CSL – the first layer which is similar to Bitcoin but uses PoS.
- CLL – the second layer which enables us to run Dapps and smart contracts while still independent with CSL.
Proof of Stake
ADA coin uses a mining algorithm called Ouroboros, and developers called it the proof-of-stake algorithm. Proof-of-Stake is completely different from Proof-of-Work. In this blockchain network, miners are selected to build blocks based on the amount they deposit and the existing time of the stake within the Blockchain’s network. Simply put, this means that you need to put certain ADAs into a network address and will be profitable over a fixed period of time like half a year or a year. Furthermore, Cardano is a platform carrying a lot of ambition as well as technological improvements. What the network aims for is a more efficient management system, as well as allowing other projects to “parasitize” on its platform, and, if desired, can split into private blockchain networks.
Cardano is developed by using Plutus, a simple and efficient programming language. Plutus uses a mathematical verification method to eliminate human errors and verify the accuracy of the code.
The wallet used to store ADA is Daedalus. It is verifiable, multi-platform and hierarchical security. You can install Daedalus on your system to run the application, and start with Cardano ecosystem.
Where and How to trade?
You can buy, sell or trade ADA coins through cryptocurrency exchanges. Below is a list of exchanges listing Cardano, many more will be added in the coming time. ADA coin will also be integrated into the system of ATMs in Japan. Starting with five locations, the system is expected to grow to about 25 ATMs within a year of Cardano’s launch. List of ADA coin listings:
- Bittrex: https://bittrex.com
- Binance: https://www.binance.com
- Bitmex: https://www.bitmex.com
- Upbit: https://upbit.com
- Coinnest: https://www.coinnest.co.kr
How to create a Cardano wallet?
Currently, there are many wallets that can be safely stored from online wallets to offline wallets. Below are some of the most popular ADA storage wallets:
- Cardano Wallets – The Daedalus Wallet
- Cardano Wallets – Yoroi Wallet
- Cardano Wallets – Binance Exchange
- Cardano Wallets – Infinito Wallet
- Cardano Wallets – Atomic Wallet
- Cardano Wallet – Guarda Wallet
- Cardano Wallets – AdaLite Wallet