Why do crypto investors like Cardano?


Cardano is one of the cryptocurrencies that has shown one of the most consistent advances in 2021. While today it costs less than two dollars, it already has a value ten times greater than it had in January of this year and is among the 5 with the largest market capitalization.

While the recent Bitcoin crash dragged other cryptocurrencies down, Cardano has remained largely intact amid increasing market volatility. Even though its market capitalization and transaction volume are lower than Ethereum, investors have high expectations.

1. It will be a smart cryptocurrency

As with Ethereum, Cardano developers hope to implement the smart contracts feature in the short term. These smart contracts will allow developers to program applications on the Cardano (ADA) blockchain. Currently, the majority of Decentralized Finance operates on Ethereum, and Cardano will soon be able to enter the competition.

2. Cardano can support high demand for transactions

The blockchain of ethereum can handle an amount l imitated transaction, about 15 per second. For that reason, its network is widely congested, which is driving up shipping transactions. For this Ethereum 2.0 is being developed. However, Cardano is currently capable of handling higher transaction volumes, it can process 257 transactions per second, and is expected to process up to a million per second.

3. It is friendly to the environment

Bitcoin and Ethereum depend on mining, which is a process of solving complex equations, which require high energy consumption. However, Cardano maintains its network through staking, where those who own coins put them on the network to validate others and earn rewards. This makes the network more efficient.

4. It is validated by peers

Cardano works like the scientific communities, it must be validated by third parties before exploring the technical possibilities that its blockchain could offer.

5. You still feel early

Can you imagine having bought Bitcoin or Ethereum years ago that cost a few dollars? You could buy it today for relatively little money and see how it appreciates over time.

19 views0 comments

Recent Posts

See All