A Detailed Explanation Of Cardano: What Is It, ADA, How Does It Work, And Its Future.

• Cardano uses consensus mechanism, proof of stake and is among the best cryptocurrencies available in the market.

• Cardona aims to provide a blockchain ecosystem that is environmentally-friendly sustainable and scalable for the development variety decentralised apps such as games and crypto tokens.

• In the future, Cardano plans to be a fully decentralised system by the application of community governance and a funding treasury.

Developed by Ethereum co-founder, Charles Hoskinson, Cardano is a proof of stake smart-contract blockchain. According to the coimarketcap, named after Itlatian Scientist Gerolamo Cardano, Cardano is one of the top cryptocurrencies today.

Cardona is a next generation blockchain based on Bitcoin and Ethereum. Cardano was developed for trackling the three main problems of  previous generation blockchains- Scalability, Interoperability and Sustainability.

Bitcoin besides being the largest cryptocurrencies today, can only process 5-6 transactions per second, however on the other hand, traditional firms like Visa can process tons of thousands of transactions per second. The blockchain platforms should be highly scalable in order to provide consistentcy to its users.

Cardano solves the problem of scalibility.The difference between Ethereum and Cardano is that Ethereum is proof of work while Cardano uses proof of Stake. 

Cardano, on the other hand, uses Epochs. Each epoch has a number of slots and each slot lasting for a second. A randomly selected slot leader would produce blocks among which one would be selected and other candidates left would be discarded. Candidate or Validators are selected based on the amount of ADA they have contributed and the candidate with the highest investment is rewarded. The concept is known as Proof Of Stake.

Slot leaders also need to make sure that the sender has sufficient funds and the transaction parameters are matched. 

Another drawback of previous generation blockchain is that they didn’t fully support interoperability.Cardano uses KMZ sidechain protocol that easily bridges Cardano with other Cryptocuurencies without giving away the most confidential of data.

Cardano is not any other alt-coin, it is environmentally sustaniable as it uses consensus mechanism, proof of stake. Cardano also aims to keep the system functional in the long run and have a thriving community.

What Is ADA?

In the simple words, Cardano is the blockchain while ADA is its native cryptocurrency. ADA is named after  “world’s first computer programmer” Ada Lovelace. 

ADA are used for paying transaction fees and also as a stake by validators in exchange of which, they earn rewards, it ensures the security and stability of the network.

Future Of Cardano:

In the future, Cardano aims to become a fully decentrelized system through community governance and the implementation of an automated treasury for funding the future ventures of the network.