What is Cardano ?
Cardano is a decentralized proof-of-stake (PoS) blockchain designed as a more efficient alternative to proof-of-work (PoW) networks. Scalability, interoperability, resilience, rising costs, power consumption, and slow transaction times are critical principles behind Cardano’s development.
Cardano’s native ADA token is used in the blockchain’s PoS consensus mechanism. Ada is given as a reward for the work done for the blockchain by users who participate in the staking pool.
The History of Cardano
Cardano is funded through an initial coin offering (ICO). The coin debuted with a market cap of $600 million. It had a market cap of $10 billion at the end of 2017 and briefly reached $33 billion in 2018 before a general tightening of the crypto market pushed it back to $10 billion. Cardano reached a market capitalization of $77 billion in May 2021, strengthening its position as the largest proof-of-stake cryptocurrency.
IOHK collaborates with universities on blockchain research. In 2017, IOHK helped the University of Edinburgh launch the Blockchain Technology Laboratory. In 2020, IOHK donated $500,000 to Ada of the University of Wyoming to support the development of blockchain technology.
What is ADA ?
ADA is the native Token of Cardano.
It is named after Ada Lovelace: a 19th-century mathematician credited as the first computer programmer, and daughter of the poet Lord Byron.
ADA is a digital currency. Any user, anywhere in the world, can use ada as a secure exchange of value – without the need for a third party to broker the exchange. Every transaction is permanently, securely and transparently recorded on the Cardano blockchain.
Each ad holder also has a stake in the Cardano network. ADA stored in the wallet can be transferred to a staking pool to receive rewards – for participating in the successful operation of the network – or pledged to a staking pool to increase the chance that the pool will receive rewards. Over time, the ada will also be available for various applications and services on the Cardano platform.