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ADA (Cardano)

Maxbit Support
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What is Cardano (ADA)?

Cardano (ADA).png

  1. Native Blockchain:
    • Cardano's native cryptocurrency is ADA. Cardano is a third-generation blockchain platform with a strong focus on sustainability, scalability, and interoperability. It utilizes a layered architecture with separate layers for settling transactions and smart contract computations.
  2. Consensus Protocol:
    • Cardano employs the Ouroboros Proof-of-Stake (PoS) consensus algorithm, which is energy-efficient and allows for greater scalability.
  3. Trilemma (Security, Speed, Scalability):
    • Security: Cardano's Ouroboros protocol has undergone rigorous cryptographic peer review, ensuring robust security.
    • Speed: The layered architecture of Cardano provides the flexibility to optimize for faster transaction settlements.
    • Scalability: Ouroboros PoS allows for a scalable solution, making it capable of processing a high number of transactions simultaneously.
  4. Founder / Date Founded:
    • Cardano was founded by Charles Hoskinson, who is also a co-founder of Ethereum. Input Output Hong Kong (IOHK), a research and development company, leads the development of Cardano. Cardano was formally introduced in 2017.
  5. Objective / Use Case:
    • Cardano's primary objective is to create a more secure, scalable, and sustainable blockchain and to enable a new decentralized economy. It's designed to provide a more balanced and sustainable ecosystem that better accounts for the needs of its users as well as future innovations.
  6. Total supply / Limit or Unlimited:
    • ADA has a maximum supply cap of 45 billion tokens.
  7. Supply Deflation:
    • While ADA isn't deflationary in the classic sense, the supply is capped, meaning there's a maximum number of ADA that can ever exist. Additionally, ADA is used for staking, which incentivizes users to lock up their tokens, potentially reducing the circulating supply.

          This overview should equip beginners with a foundational understanding of Cardano and the unique attributes that make it stand out in the cryptocurrency landscape. As with all crypto assets, staying informed of the latest developments is paramount, given the dynamic nature of the field.

References:

  • Discover Cardano - https://cardano.org/discover-cardano#purpose
  • A Comprehensive Guide to Cardano Third-Generation Blockchain - https://medium.com/zeeve/a-comprehensive-guide-to-cardano-third-generation-blockchain-31fcb1c015a9
  • How does Cardano Tackle the Blockchain Trilemma - https://adapulse.io/how-does-cardano-tackle-the-blockchain-trilemma-a-focus-on-decentralization-scalability-and-security-of-the-network/
  • The Blockchain Revolution Started With Bitcoin. It Continues Now With Ouroboros.  https://cardano.org/ouroboros/

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