What is Cardano (ADA) and its current upgrade?
Cardano is a 3rd generation blockchain network that manages the development of the network by the development team Input Output Hong Kong (IOHK) responsible for improving the performance of the Cardano network as well as some parts of Ethereum Classic.
Moreover, Cardano is a network that focuses on using smart contract functions to build decentralized applications (dApps) while expanding the network to support the increasing number of users (Scalability). By using ADA as the main crypto in use within the network.
How did Cardano start?
Cardano started out as Charles Hoskinson, the former creator of the Ethereum blockchain network, who wanted to create his own network in 2015, until it was successfully developed in 2017, and was funded through an ICO in that year
Charles Hoskinson aims to create a blockchain system that is easier to scale the network and a better energy efficiency.
Cardano Roadmap has 5 major phases, with different purposes which are Byron, Shelley, Goguen, Basho, and Voltaire.
Byron (Foundation Phase)
Starting with Byron, it is the first step in building the Cardano network in 2017 to allow users and investors to trade ADA and software wallets like Daedalus and Yoroi, as well as bringing the coins to major exchanges. with good liquidity
Shelley (Decentralization Phase)
Shelley is the process of implementing the Proof-of-Stake consensus to the network in 2020 in order to make the network more decentralized. Coin holders can deposit coins in the system (Staking) to receive rewards from validation of transactions. and enhance the security of the network
Goguen (Smart Contract Phase)
The third phase, or Goguen, is the implementation of Smart Contract to Cardano's network to achieve more use cases, which helps to attract new developers to build decentralized applications (dApps) with Smart Contracts by unique programming languages like Plutus or Marlowe.
Cardano is currently in Phase 3 (Goguen) and the Alonzo Hard Fork is being developed on September 12, 2021 to enable full functionality of Smart Contract.
Basho (Scaling Phase)
Phase 4 focuses on expanding the network coverage. To prepare for users utilizing the network’s functions in a faster and more efficient way.
In the first phase, sidechain will be used within the network to have a mechanism that shrinks the data so that the data can move easier, faster, and provide better support for large transactions, which Ethereum plans to develop as well after the consensus transition from PoW to PoS.
Voltaire (Governance Phase)
The final phase under IOHK's management of the Cardano network is called Voltaire, which enables the network to be decentralized through management forwarding or further developments to the users 100% within the network. The power to vote for decision-making will come from staking coins.
Pros of Cardano
Cardano was built as the next generation of blockchain. Along with the ability to scale in a variety of business models with real-world examples of use in education systems and there are plenty of projects that are in the process of development.
ADA is one of the largest Proof of Stake (PoS) consensus coins in the world today, and the energy consumed in the network is much less than a Proof of Work (PoW) blockchain network.
A Smart Contract which is a function within the network is another interesting feature because the programming languages required are Plutus or Marlowe, which have specialized capabilities to make the system more secure.
Cardano is currently in the process of moving its Ethereum token database (ERC-20 Token) or known as the ERC-20 Converter Tool, to Cardano. In addition, the Cardano blockchain network has been used in the education system in Ethiopia to help evaluate the results of the study and store data of more than 5 million students in 3,500 schools across the country.
ADA is one of the world's top cryptocurrencies. In the past 3 months, ADA has never slipped out of the top 10 even though the network is still in the development phase and still can not perform all of the functions, this makes ADA a very interesting coin.
ADA, settled on the Cardano network, is undoubtedly an intriguing project to keep an eye on. Although the development of the network is not yet complete, Cardano has a clear roadmap and is always updated for investors or interested parties.
However, investing in all types of digital assets contain risks. Investors should always conduct adequate research before making any investment decision.