What Is ADA Crypto: Interesting Things to Know Before You Buy Cardano 2021

The ADA cryptocurrency forecast for 2021 looks very optimistic. Today, we will explain why the altcoin rate has grown by 1300% since the beginning of the year and what prospects it has.

We’re also happy to announce that ADA by Cardano is available for purchase at Switchere. Feel free to buy ADA in the fastest ways with low fees at Switchere!

What is ADA cryptocurrency? Cardano (ADA) cryptocurrency is one of the fastest-growing blockchain assets in the cryptocurrency market. Since the beginning of 2021, it has twice hit the top 3 cryptocurrencies by market cap. Let’s find out ADA crypto definition, its price prediction, as well as main pros & cons!

What Is ADA Cryptocurrency: Basic Things to Know

What is ADA in crypto? Cardano (ADA) is a blockchain platform created in partnership between Input Output Hong Kong (IOHK) and Charles Hoskinson, former co-founder of BitShares, Ethereum, and Ethereum Classic. From the very beginning, it is positioned as an alternative to Ethereum.

The platform specializes in launching smart contracts, decentralized applications, sidechains, and secure multi-party computation.

So, what is ADA crypto? Well, the native cryptocurrency of Cardano is called ADA. The platform is named after the Italian mathematician Gerolamo Cardano and the cryptocurrency — after the English mathematician Ada Lovelace.

The starting point of the platform’s history was the proposal of Japanese investors who became interested in ​​using blockchain technology for smart contracts and signed a contract with Charles Hoskins to develop a new cryptocurrency with high scalability.

During the ICO campaign from 2015 to 2017, the project team managed to raise $62 million. A week after the launch, the market cap of Cardano increased to $500 million, and the daily turnover of ADA on trading platforms reached $100 million. 

The largest amounts of capital investment came from the countries of Southeast Asia. The cryptocurrency is popular in Japan, South Korea, and Thailand.

What Is ADA in crypto: How Does it Work?

So, what is ADA in crypto? Cardano is written in Haskell, a highly fault tolerant programming language. The applied Proof-of-Stake Ouroboros protocol provides for the voting rights of all cryptocurrency holders. It is similar to the new Ethereum Casper protocol, but according to Ouroboros creators, it is the only consensus algorithm whose security can be proved using mathematics.

ADA tokens supply is limited to 45 billion coins, 30 billion of which are already generated. About 10% were allocated for companies that design this platform and are engaged in its development. The rest were distributed among the holders-miners. The supply is entirely dependent on new blocks. To date, 2,000 coins are produced after the confirmation of each block — the indicators will gradually decrease further. Developers plan to complete the issue of the entire volume of coins in 2023.

Cardano Blockchain

What is ADA cryptocurrency? How does it actually work? The Cardano cryptocurrency (ADA) uses its own blockchain called the Cardano Settlement Layer (CSL). CSL is a distributed transaction ledger layer to support cryptocurrency wallet transactions. The second layer, called the Cardano Computation Layer (CCL), will support smart contracts and decentralized apps. This layered architecture allows for easy protocol upgrades and has a positive impact on Cardano’s price prediction.

Financial government regulators are usually skeptical about the use of anonymous cryptocurrencies in the traditional financial system. Still, the Cardano platform can use cryptographically protected metadata on the blockchain, which will allow it to interact with external regulators while maintaining the confidentiality of crypto owners to a sufficient degree.

ADA Crypto Definition: Key Pros & Cons

Once we’ve found out the ADA crypto definition, it’s time to consider its main pros and cons. One of the significant advantages of Cardano is the Ouroboros security system, which provides mathematical precision in performance. With the help of this algorithm, Cardano was able to reduce the energy consumption when confirming blocks significantly. A special secure programming language speaks in favor of this cryptocurrency.

In addition, the Cardano (ADA) cryptocurrency features fast transactions and the ability to work with digital assets. Any user can create and execute a smart contract to secure their money transfers and other operations.

According to nicechange.net, Cardano has fast transfer speeds. This helps to avoid the increase of fees when it is necessary to speed up a transaction. Сomplete privacy of users and a system of hard forks are additional advantages of this cryptocurrency. They fix network errors without further rollbacks.

A definite disadvantage of Cardano is that the blockchain is still under development. It must solve its scalability issues as it can only process 257 transactions per second (TPS). In addition, the cryptosystem has issues with official wallet syncing and network connectivity.

ADA Rate Record Growth in 2021

Since the beginning of 2021, ADA has risen to third place in the cryptocurrency ranking by capitalization twice. This happened for the first time in February, when ADA increased by almost a third, and then in mid-August. Then the ADA rate increased by almost 50% within a week, and its value exceeded $2. 

On August 20, the altcoin rate reached its historical maximum — $2.57. Since the beginning of the year, ADA has risen in price by more than 1300%.

As estimated by analyst firm Messari, due to the rising cost of the altcoin, the number of dollar millionaires ADA-holders increased by 173%.

What are the reasons for the growth of Cardano? Well, after the September update, Alonzo Cardano became a full-fledged competitor to Ethereum, where smart contracts have existed since the launch in 2015.

How to Buy Cardano (ADA) Cryptocurrency?

If you’re wondering how to buy ADA crypto, you should definitely think about buying it at Switchere. On our platform, you have an opportunity to buy ADA in the fastest and most convenient way. Moreover, we offer some surprising bonuses! Users of our platform enjoy a 0% service fee for the first order.

Here is an easy step-by-step guide on buying ADA at Switchere!

  • Visit our website and log in to your account.
  • Choose the currency pair for exchanging, enter the amount, and your Cardano wallet address.
  • Check the transaction details and click on the ‘Make Payment’ button.
  • Enter your card details and click on the ‘Pay Now’ button. Please take into account that you have a limited amount of time to send your funds. Elsewise, the transaction will be canceled automatically.
  • Once you send the funds and your transaction receives the required number of blockchain confirmations, the amount of purchased ADA will be sent to your provided wallet address accordingly. Click on the ‘Show Order Status’ button to check the status of your transaction.
  • Congratulations! The transaction is completed, and now you can check your Cardano wallet.

Usually, Switchere transactions take 5-30 minutes. If you have any troubles with the exchange process, let us know at [email protected].

Cardano Price Prediction 2021

The Cardano (ADA) rate is quite resistant to inflation, and due to the limited total turnover, its demand continues to grow. The decentralized nature of the Cardano blockchain makes it secure, and the layered architecture provides scalability. These technical features, in turn, make Cardano a unique coin with good potential.

For example, the Wallet Investor website predicts that the altcoin rate will rise to $4.7 within a year and $12.5 within five years.

The Digital Coin resource gives a similar forecast. They believe that the ADA will end the year at $3.93, and a year later, it will cost $4.86. 

Still, today’s Cardano price is far from its August all-time high — the ADA price is $1.91.

7 Day ADA Token Price Chart

Conclusion

In the future, the Cardano (ADA) rate will most likely depend on the number of dApps and smart contracts built on its blockchain. Whether it is worth buying Cardano or not — it’s all up to you. But make sure to carefully study the charts and news about this cryptocurrency before making any investments. 

What is ADA crypto? What other interesting facts do you know? Feel free to share your knowledge in the comments!

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