Byline: Hannah Parker
As a means to advance the current and ever-growing blockchain technology, the Cardano platform was created. Cardano is a digital asset platform and the first blockchain platform to be founded on empirical, peer-reviewed research and scientific ethos. As a digital platform, Cardano was made for decentralised applications (DApps) that hold digital assets, conduct verifiable smart contracts, and store data. Users can easily transmit, receive, and store cryptocurrency on the site, which is secure and offers scalability solutions not found in other cryptocurrency platforms. The platform is quite efficient and user-friendly, as anyone can access, use, change, and freely distribute Cardano because it is an open-source project. As a result of the aforementioned, Cardano is marked and regarded as one of the most trustworthy and secure cryptocurrency platforms among the tens of thousands that exist.
What exactly is Cardano and How Does it Work?
As mentioned above, Cardano is a blockchain platform for decentralised applications (DApps) that hold digital assets, conduct verifiable smart contracts and store data. A peer-to-peer network’s whole transaction history is recorded in a decentralised ledger called a blockchain. This technology makes participant confirmation of transactions possible without the requirement of a central authority.
Smartphone applications can be compared to decentralised applications. The main difference between the two is that DApps function independently without the participation or interference of a third party. This autonomy is achieved through the use of smart contracts and computer programs designed to perform a task or function when predetermined or prerequisite conditions have been met.
For instance, Cardano, as a blockchain platform, has the potential to change how people interact with their favourite entertainment options. Non-fungible tokens, or NFTs, for instance, verify the ownership of digital assets. A smart contract can simplify the trading, purchasing, and selling of NFTs. Smart contracts are also being considered as a way to compensate independent artists, including writers, musicians, and filmmakers. By automating the procedure, middlemen are no longer required to process royalty payments.
ADA Native Coin
Not only is Cardano a blockchain platform, but it also functions as a cryptocurrency with its own native coin called ADA, named after Augusta Ada Lovelace, a 19th-century countess and English mathematician recognised as the first computer programmer. A public sale of 25.9 billion ADA tokens, which started in September 2015, led to the release of the native cryptocurrency, ADA, in 2017. In addition, 5.2 billion tokens were created and distributed to three different organisations that found, promoted and advanced the Cardano system: The Cardano Foundation, Emurgo, and Input-Output Global (IOG). Tokens worth 2.46 billion, 2.06 billion, and 648 million were distributed to IOG, Emurgo, and the foundation.
In the primary stages, when the digital currency was first made available for public trading, ADA cost $0.02. Prices then inclined to a then all-time high of $1.31 in 96 days, in line with the rest of the cryptocurrency market during the 2017 crypto bull run. 2018 saw a significant decline in ADA’s price, as it did with many other crypto assets. By November 2018, it had declined back to $0.02. It took more than two years for the currency to survive the decline and have its price value rise above $1.31. The first quarter of 2021 was met with a bull market season which fueled ADA’s ascent, increasing its market value. By mid-May 2021, it had reached $2.46. Between May and July, a brief dip led to prices soaring even higher. This time, ADA’s market price value sky-rocketed to a new record high of $3.10 in early September 2021. The value of this blockchain began to fall drastically in November 2022 and stayed that way until the first week of 2023, when its market value increased by 21% and its price unexpectedly rose to $0.33.
According to commentary made by a crypto expert from Bitcoineer, Cardano has the eighth-highest market capitalisation, making it one of the most popular digital currencies. Furthermore, after much research by our expert, it was found that it is one of the best cryptocurrencies to invest in during a bear market.
Similarly to traditional financial investments that come with risk, so are volatile cryptocurrencies. However, the difference here is the numerous innovations being created and launched to help make existing systems, applications and digital platforms more efficient, sustainable and scalable, which is what Cardano aims to achieve. The aforementioned further makes it distinct from other cryptocurrencies, including Bitcoin and Ethereum, further making this platform eligible to compete directly with other digital currencies dominating the crypto market.
Cardano is a sustainable and scalable currency looking at its technologies and how it manages to thrive during bear and bull seasons. The core functions and mechanisms that advance this platform allow it to thrive, making it one of the best currencies to invest in during a bear market, as it is bound to soar at some point.
