In a world where almost everything can be done online, people have found new ways to streamline payment processes and purchases by investing in cryptocurrencies. Though cryptocurrency is still on its way to becoming part of mainstream payment solutions, a lot of people have already seen its potential in the industry.
With a wide range of cryptocurrencies available today, it’s hard to find the one that will suit your preferences. One of the digital assets that are making headlines these days is Cardano. If you’re still unaware of everything this altcoin offers, then find out the full intro to Cardano crypto as you read this article!
What is Cardano?
Cardano is a blockchain platform where crypto users can run smart contracts. It was created by the co-founder of Ethereum Charles Hoskinson. Founded in 2017, Cardano now has a market cap of US$13.74 billion and a limited supply of 45 billion ADA.
The third-generation blockchain aims to improve upon three elements: scalability, interoperability, and sustainability. Additionally, the altcoin is four-million times more energy-efficient than Bitcoin with its proof-of-stake protocol that requires validators to stake coins before they can be chosen to upload transactions into the blockchain.
A lot of people mistake Cardano and ADA to be the same. However, similar to Ripple’s crypto coin XRP, ADA is Cardano’s token. It is named after Ada Lovelace, a 19th-century mathematician who is known as the first computer programmer in the world.
Features of Cardano
Just like other cryptocurrencies, Cardano has features that prove why it’s one of the top cryptocurrencies in the world today.
Here are Cardano’s notable features:
- Cardano is the first peer-reviewed blockchain because it was evaluated by scientists and university scholars prior to the publishing of its whitepaper.
- It’s the first one to use the proof-of-stake algorithm called ‘Ouroboros.’
- Cardano has impressive features such as distributed systems and cryptography to process and secure investment.
- Its blockchain consists of two layers: the Cardano Settlement Layer (CSL) and Cardano Computation Layer (CCL). The first one acts as the ledger where all transactions are recorded. It is where the proof-of-stake consensus algorithm is executed to validate exchanges. The Cardano Computation Layer is for the smart contracts and decentralized apps wherein CCL users can generate customized rules and conditions when evaluating transactions or data.
- Cardano prioritizes the security of its users while following the regulations.
- The blockchain splits into soft forks to constantly update its features to the current needs of the market.
Cryptocurrencies are the future of payment solutions
As more people begin to recognize the importance and value of cryptocurrencies, digital assets will continue to emerge and enhance in this ever-changing fast-paced world of technology. Now that you know the full intro to Cardano crypto, you can start investing in this revolutionary blockchain. Further, expand your knowledge by discovering more about it and other types of cryptocurrencies.