<h2>What is Cardano?</h2><p class="prosemirror-p-center"><img src="https://lh4.googleusercontent.com/r3nCk7R7PfEz5WLkEj-6knfV2lqXfv6MOHUXwMpsCSKwuzvlphthz6hOWeS9t3f4x6M2agxkw1NQmTw4MmKfdY9A5BXqbWY_XnxnptiBGK88Xu3rxtNBVnr9ssTwPZJ963yTrJalDyC6PsGInqLKsm8xfn2G1t8hAN8uy8ntu1ecESZ2rZKdfM9iEQ" alt="What is Cardano?" title="What is Cardano?" width="624" height="347"></p><p dir="ltr"><strong>Cardano</strong>, which was introduced in 2017, is positioned as the third-generation blockchain, succeeding Ethereum and Bitcoin, which were the first- and second-generation blockchains, respectively. Cardano claims to be a more scalable, secure, and effective alternative to Ethereum and other decentralized application platforms.</p><p dir="ltr">According to the team behind the layered blockchain, there have already been some compelling use cases for its technology, which intends to enable the modular development of decentralized apps and smart contracts.</p><p dir="ltr">Charles Hoskinson announced the start of the Alonzo hard fork in August 2021, which caused a jump in the price of Cardano, which increased by 116% the next month. The Cardano "Alonzo" hard fork, which added smart contract capability to the network, became live on September 12, 2021. The next 24 hours after the launch saw the deployment of more than 100 smart contracts.</p><p dir="ltr">Cardano is used by agricultural companies to track fresh produce from field to fork, while other products built on the platform allow educational credentials to be stored in a tamper-proof way, and retailers to clamp down on counterfeit goods.</p><h3>How is Cardano built?</h3><p dir="ltr"><strong>A settlement layer (CSL)</strong> and a <strong>computation layer (CCL)</strong>, which operate as the core elements of every transaction, make up the Cardano ecosystem, a third-generation blockchain platform.</p><h3>Cardano Settlement Layer (CSL)&nbsp;</h3><p dir="ltr">The designers of Cardano set out to create a system that can distinguish between a transaction's value and its computational data.</p><p dir="ltr">The movement of value (or currency) between the sender and the receiver is controlled by the <strong>Cardano Settlement Layer</strong>. In other words, all control layers and systems are routed through the settlement layer.</p><p dir="ltr">Plutus and Marlowe, two specialized scripting languages, are used by the CSL to move the value and improve support for overlay network protocol.</p><h3>Cardano Computation Layer (CCL)</h3><p dir="ltr">Cardano's Rootstock smart contract platform, which is modeled after the Bitcoin (BTC) ecosystem, is made possible via the <strong>Cardano Computation Layer</strong> (RSK blockchain). The introduction of CCL was justified by its potential to scale specialized protocols over time. As technology develops, hardware security modules (HSM) are added to the current stack of protocols.</p><p dir="ltr">The Cardano blockchain's two layers give the ecosystem the flexibility to proactively implement changes to support quicker and more secure transactions while also removing any user metadata that turns out to be pointless to the procedure.</p><h3>How does Cardano work?</h3><p class="prosemirror-p-center"><img src="https://lh3.googleusercontent.com/NYHdtE2PK_VLhwIe9rWIDvvn9XpWQ3lS29WrKkEqFWbXB9hRDo9mpTFDLnQ66jN-HF9Qfwm1_yppmuPaGyD5rlU0t_ZfCQoGSh1KJXwWbOLFU3LK9SnRYfDah2R8sfULj1KSuSxpa2Sl6xp_JUdeSH9yD74xpJQicvVWTWXuUoTH_hbEeRQp4zbrzg" alt="How does Cardano work?" title="How does Cardano work?" width="624" height="391"></p><p class="prosemirror-p-center"><em>Source: Internet</em></p><p dir="ltr">The "Ouroboros" proof-of-stake (PoS) consensus process is used by the Cardano blockchain to find new blocks and add transaction data to the network. In this PoS system, ADA owners must "stake" or lock up their coins in stake pools run by other users or create their own stake pools.</p><p dir="ltr">Ouroboros uses a system of time intervals termed "epochs," with each epoch lasting five days, to produce new blocks. Each epoch contains 21,600 slots, or one slot every 20 seconds, which are smaller temporal units. Each slot has a "slot leader" who is responsible for building a new block for that position. Stake pools are allotted to each slot at random.</p><p dir="ltr">While anyone can operate their own staking pool, doing so properly does need a certain level of technological know-how. Every epoch ends with the stake-pool operator and stakers receiving rewards for adding new blocks to the chain (five days). The awards are based on how many coins each player has bet on the pool.</p><p dir="ltr">The likelihood that a stake pool will be randomly chosen to become a slot leader and add the next block to the chain increases with the total number of coins held in it. Staked coins can be compared to lottery tickets. More tickets boost your odds of winning, but they do not ensure that you will. Each staking pool is controlled by a "saturation parameter," which simply offers stake pools lower rewards if they reach a particular capacity, to prevent huge pools from dominating the system. This encourages ADA stakers to move their coins to smaller pools.</p><p dir="ltr">This Ouroboros consensus system is entirely distinct from Bitcoin's proof-of-work (PoW) system, which requires users to compete using specialized computer equipment to find the next block and lacks any built-in mechanism to deter monopolistic mining operations aside from the fact that bitcoin's value depends on its decentralized nature.</p><p><em><strong>&gt;&gt;&gt; Find out:&nbsp;</strong></em><a href="https://www.builder.news/crypto-insights/pow-compared-with-pos" alt="PoW compared with PoS - What solution is optimal?" title="PoW compared with PoS - What solution is optimal?" target="_blank" rel="" class=""><em><strong>PoW compared with PoS - What solution is optimal?</strong></em></a></p><h2>All about ADA - Cardano’s native coin</h2><p class="prosemirror-p-center"><img src="https://lh6.googleusercontent.com/fWk_4HK4pJD0vUJCVkdytJsShG31OHswNI5as2MV9nu0yAAlltvXZZSbMsvaIT_txsYx1Qd4XCjlL-8M-mIg4gYOAltajnF7XPLOoijLXc2Kw07L8J5m15HDTRor5arh9Ve3MJlWNao74K-9fl6h_MP-vTxb809Kp9u4HdiOGr3m3g19obI7iMT1BQ" alt="What is Cardano coin?" title="What is Cardano coin?" width="624" height="395"></p><p class="prosemirror-p-center"><em>ADA all-time price (Source: CoinMarketCap)</em></p><h3>What is Cardano coin?</h3><p dir="ltr">The <strong>native coin of the Cardano</strong> blockchain is called ADA, and it is located on the Cardano Settlement Layer. The <strong>ADA cryptocurrency</strong> has a 45 billion token maximum supply that will be minted and distributed over time. A deflationary characteristic of ADA is guaranteed by the hard cap on the overall token production. However, until the ecosystem releases a significant percentage of the reserves for circulation, which is anticipated to begin around 2030, the ecosystem will exhibit an inflationary trend.</p><p dir="ltr">Like other well-known cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH), ADA may be saved in digital wallets and exchanged for fiat money like the US dollar. Third-party wallet services can store and transfer ADA in addition to Cardano's native wallet options like Daedalus and Yoroi. ADA can be safely kept in both hot and cold wallets.</p><p dir="ltr">A collection of proof-of-stake blockchain consensus methods called Ouroboros is the foundation for ADA, which is designed to operate as a secure exchange of value. The Cardano blockchain can also support DApps, smart contracts, non-fungible tokens, and other cryptocurrencies.</p><h3>ADA use cases</h3><p dir="ltr">An active development and investor community back ADA and the Cardano ecosystem. Enthusiasts have gradually begun taking ADA as payment as the cryptocurrency continues to gain value.</p><p dir="ltr"><strong>Peer-to-peer (P2P)</strong> transfers between the sender and the receiver are the most widely used payment method. In this kind of transaction, there are no middlemen involved; the sender can deliver pre-existing ADA tokens straight to the recipient's wallet address. Businesses have begun integrating specific ADA payment gateways as a result of the currency's growing popularity, enabling users to use ADA to make online transactions.</p><p dir="ltr">Cardano levies a fee of 0.16 ADA on average for each transaction. This computation is based on the size of the transaction as well as a standard cost for each transaction. As a result, the transaction fees will rise in proportion to the transaction's monetary amount.</p><p dir="ltr">Additionally, users can gain ADA tokens by "staking" or confirming payment transactions on the Cardano network. This entails transferring your current ADA holdings to a staking pool, which the node operators then use to instantly verify and confirm transactions.</p><p dir="ltr">The pairing of ADA wallets with numerous staking pools is not permitted. When staking cryptocurrency, readers are recommended to do their homework and find long-term rewards.</p><p dir="ltr">The yields for ADA staking are often predetermined and differ from pool to pool. There can only be one staking pool per wallet. Before making any investments or commitments to ADA staking pools, users are urged to conduct research.</p><h2>How to invest in Cardano coin (ADA)</h2><p class="prosemirror-p-center"><img src="https://lh6.googleusercontent.com/S8BKEYyYS2rjihihylnqnmPXeAB0hPa26RQ-rbvtaa3-OIE9JmesP171MI9BRMbadUSAmfLR7UM4qa6NtY6MXZRwWV8claEhJEnvkE1ACpKpEJTpjwfxqGxUJsRuGo-KO1D2L_eJ5AJSYZ10X7JQBXf2b2SEWCHIXCxLGXaXd2hdZmu5cZYnAeeCBw" alt="How to invest in Cardano" title="How to invest in Cardano" width="624" height="347"></p><h3>How to buy Cardano coin (ADA)</h3><p dir="ltr">To answer the question of <strong>how to buy Cardano</strong>, first you must use a cryptocurrency exchange to convert your fiat money into cryptocurrency. A cryptocurrency exchange is a website or app that buyers and sellers can use to conduct transactions.</p><h3>How to stake Cardano coin (ADA)</h3><p dir="ltr"><strong>How to stake Cardano</strong> is among the most frequently asked questions. You can choose from a number of staking pools to stake your Ada. To make sure you're joining a reliable pool, it's crucial to carefully look through a pool's website, user ratings, complaints, or difficulties. The Daedalus wallet, which allows you to select a pool to join, is supported by IOHK. To assist you in choosing a pool, you can also utilize the community-built tools adapools.org, cardanoscan.io, pool.pm, poolstats.org, or pooltool.io.</p><p dir="ltr">Additionally, you can stake your Ada using the Yoroi, Exodus, and Binance wallets. But as Binance is a custodial service, it will keep your Cardano keys safe for you.</p><p dir="ltr">Some people also ask <strong>how to mine Cardano (ADA)</strong>? The answer to this question is that there is no mechanism to mine Cardano like there is with other cryptocurrencies. It must be bought on a cryptocurrency exchange instead.</p><h3>Cardano price prediction</h3><p class="prosemirror-p-center"><img src="https://lh5.googleusercontent.com/XYj2H0x2Tnrl_Rj0REjTV2A_0RzxZwhufpI8NZmyCuPnzfc3dgBietkrBIRxoOiHxewh89FpVsgEeKECwdQvvimuKDsXg5bzjYYGnuZnfx46NCUXP4zDEnOdPj2KnbzP3gcdlIpaD14vo_ZBtuIdw3Mbt2KOrDhI6Fiy9vB0TfHcMHpPuhMzoasuNQ" alt="Cardano price" title="Cardano price" width="624" height="340"></p><p class="prosemirror-p-center"><em>(Source: TradingView)</em></p><p dir="ltr">When Cardano emerges as one of the largest proof-of-stake blockchains, people may wonder how high can Cardano go. According to market analysts, Cardano will not change in 2022. Analyst projections for Cardano are not optimistic, despite the fact that the price of the cryptocurrency increased on Friday as part of a larger market gain.</p><p dir="ltr">Due to its proof-of-stake algorithm and superior transaction processing capacity over other cryptocurrencies like Bitcoin, Cardano has become increasingly popular.</p><p dir="ltr">Early supporters of the project received large returns when <strong>the price of Cardano</strong> rose to a peak of $3.10 in September 2021. Since then, Cardano's price has dropped significantly; it is currently trading at $0.47 at the time of this writing.</p><h2>Cardano Vasil Hard Fork</h2><p class="prosemirror-p-center"><img src="https://lh4.googleusercontent.com/oYZuwH5mJBEnsAgsrX7Rbi86eBAzaquHxQqjKpPGpozMXsVHATEYazfatyZx_H-IeGabCwpBcvQrQ0EtOR6G7i1U3fz3uOy8oziipu4NI0bLUY4LShZ9zjFgslNXZlLHRqOOR4nFi6OiFsa48iMenRIMINta2yOnb5W86ZLvgn39bY7S7_661ATdHg" alt="Cardano Vasil Hard Fork" title="Cardano Vasil Hard Fork" width="624" height="347"></p><p dir="ltr"><a href="https://www.builder.news/crypto-insights/cardano-vasil-hard-fork" alt="Vasil Hard Fork - Might Cardano surpass Ethereum with the new upgrade?" title="Vasil Hard Fork - Might Cardano surpass Ethereum with the new upgrade?" target="_blank" rel="" class="">The Vasil Hard Fork</a> is regarded as one of the most eagerly awaited improvements for Cardano. It is named after the late Bulgarian mathematician Vasil Dabov, a significant contributor to Cardano. The Cardano hard fork, which marks the third development epoch, is expected to bring about a number of improvements to the network's capacity and Plutus, the smart contract programming language used by the blockchain. The event has been delayed several times; it was initially scheduled to take place in June 2022.</p><p dir="ltr">Vasil will introduce CIP-31, CIP-32, CIP-33, CIP-40, and diffusion pipelining as five essential mechanisms to increase Cardano's scalability and usefulness.</p><p dir="ltr">With the help of CIP-31, also known as "reference inputs," developers will be able to view the outcome of output without having to invest any money. Concurrency would rise and transaction throughput would be optimized.</p><p dir="ltr">The goal of CIP-32 is to make inline data possible. CIP-32 would enable developers to attach datums to outputs rather than the present practice of attaching datums to datum hashes. By implementing this update, developers will be able to write scripts that directly reference the input, enabling users to communicate datum values more quickly and simply.</p><p dir="ltr">The Cardano Improvement Proposal 33 would enable the attachment of reference scripts to outputs. As a result, reference scripts rather than spending transactions are employed to fulfill the validation requirements. The validation procedure will be more effective thanks to these reference scripts, which will also result in smaller transactions.</p><p dir="ltr">Collateral outputs, a brand-new sort of transaction output in CIP-40, are intended to increase the network's overall scalability.</p><p dir="ltr">Cardano's consensus layer scaling method is diffusing pipelining. By overlapping some of the procedures that a block must go through as it passes across the chain, the upgrade proposal will encourage the deployment of more DApps and enable concurrent transactions.</p><div class="pr-block-special"><strong>Disclaimer:</strong><br>This article is intended for and only to be used for reference purposes only. No such information provided constitutes advice or a recommendation that any investment or trading strategy is suitable for any specific name.</div>

Cardano is a third-generation blockchain that claims to be a more scalable, safe and effective alternative to Ethereum and other decentralized application platforms. Let’s find out more about this blockchain through the article below!

Cardano - What is inside the 3rd generation blockchain protocol?