Cardano (ADA) is a blockchain platform based on intensive scientific research. Conceptually, Cardano is reminiscent of Ethereum because smart contracts can also be developed and created on the Cardano platform. The consortium of developers behind the project examined existing cryptocurrencies in order to avoid potential weak points in their own development.
Today, every possible adjustment to the protocol goes through a scientific test. Experts behind the project give a green light only in case a future improvement can be observed after a change.
Cardano’s ambitious plan provides for use by private users as well as by institutions, and entire states. Cardano became popular shortly after its release. Since then, the project has always been in the top 10 largest cryptocurrencies by market cap. Cardano is one of the leading smart contract platforms today and is a popular investment property. The year 2020 in particular could also be groundbreaking for the platform.
What is Cardano: Everything You Should Know
Cardano was founded as a joint project of three companies and was created in 2015. The idea of a platform based on smart contracts wasn’t new at the time, but developers wanted to take a new path in designing their platform.
Existing projects, such as Bitcoin and Ethereum, were analyzed and respective problems were identified. On the basis of scientific evaluations, these problems have already been eliminated during the development of Cardano. To this day, developers rely on complete transparency in the development in relation to investors and official institutions.
Technically, Cardano is based on the Ouroboros proof-of-stake algorithm. As is customary for such an algorithm, network sovereignty rests with the wealthiest participants. However, in order to ensure a fair distribution of a block commission during the mining of new blocks, founders have created a commission system based on probability calculation. In this case, everyone receives a fair commission according to their stakes (assets). The independently developed protocol based on the PoS algorithm is primarily intended to improve the scalability of the entire network.
Cardano strives for overall benefits, but the focus is on integration into an environment of institutional companies. The cryptocurrency is supposed to improve payment transactions and to increase security during a transaction exchange.
The project team is working hard to ensure that their cryptocurrency complies with applicable legal regulations and doesn’t fall victim to anti-money laundering laws. Cardano wants to position itself as a preferred platform for smart contracts, particularly in banking. This year, the Shelley era also took place, which represents a serious step for the project.
Price Forecast 2020: The Second Half of the Year
Shelley was observed early in the second half of the year. If everything went smoothly at the very beginning and a developers’ plan worked out, this could be reflected in a price increase. For the first time since September 2018, the price could rise to over $0.10.
In particular, transparent communication between developers during the test phase received great praise from the community. All developments are open-source and have to be checked in a repository on Github. So far all goals of the roadmap have been met. Charles Hoskinson, current CEO of Cardano, and former Ethereum co-founder strives to make his platform the first choice for institutes and companies in the long term.
In fact, the success of the project also depends on the future orientation of the project. A strong competition with EOS, Tezos and Ethereum is dominating the market. However, Cardano is considered a pioneer in the field of blockchain platforms along with Ethereum.
At the World Economic Forum 2020 in Davos, Cardano received praise from all directions. In addition, a leading DUST Identity company from a precious metals industry was chosen as a partner. This year’s Shelley update is just another step in the platform’s ambitious roadmap, which could have a positive impact on the rate.
Cardano plans to become a leading multi-asset platform in the near future. The team of developers has already been able to gain strong partners, including PwC and COTI. In the past, Cardano drew attention to itself via positive reports.
However, this has a rather poor effect on the rate. Things could remain the same in the near future. The main idea is to find out a way to surpass all the competitors. In the short term, price jumps are unlikely, as they were observed for the last time in January 2018.
What do you guys think about Cardano? Just share your opinion & forecasts in the comments!
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