Cardano (ADA) is a proof-of-stake blockchain with a smart contract platform that uses a cryptocurrency native to it known as ADA. It has the goal of being a network that avoids the pitfalls of cryptocurrencies such as Bitcoin and Ethereum, in the form of scalability, energy usage, and being able to interact with regular money. This is an open-sourc...
Cardano (ADA) is a proof-of-stake blockchain with a smart contract platform that uses a cryptocurrency native to it known as ADA. It has the goal of being a network that avoids the pitfalls of cryptocurrencies such as Bitcoin and Ethereum, in the form of scalability, energy usage, and being able to interact with regular money. This is an open-source project founded in 2017. Cardano is one of the biggest blockchains out there to successfully implement and use proof-of-stake as a consensus mechanism. This is a lot less energy-intensive when compared to proof-of-work, which is used in Bitcoin.
The ADA Token Explained
The ADA Token has a design that can ensure each owner of it has the ability to participate in the operation of the network. Those who have the cryptocurrency can vote on any proposed changes to the core software. Unlike miners, as you would find in Bitcoin, in Cardano, there are validators that are chosen by the network depending on how much ADA currency they own. When selected, they can validate the transactions on the block, and they place a bet on how confident they are in being able to verify all of the transactions. If the blockchain verifies the validator block, they get rewarded with ADA.
Features of Cardano
Cardano uses the Ouroboros, which is a proof-of-stake (PoS) algorithm that can create blocks and validate transactions occurring on the blockchain. The time is divided into epochs and slots, where epochs represent the overarching timeframes, and slots represent 20-second intervals. Throughout each slot, a leader is randomly picked to add the next block onto the blockchain, and after that, the next slot leader is picked.
There are three types of nodes on the Cardano blockchain. First, you have Edge, which is used for creating cryptocurrency transactions. Then you have mCore, where you can stake ADA and participate in the distributed governance. Finally, you have Relay, where you can send data between mCore and the public internet.
Founders of Cardano (ADA)
Cardano (AVA) was founded by Charles Hoskinson, who is also one of the co-founders of the Ethereum network. He also fills the role of the CEO at IOHK, which is the company behind the Cardano blockchain. He has been involved in cryptocurrencies ever since 2011, with his first professional involvement occurring in 2013 where he created a course about Bitcoin.
