Cardano offers users a decentralized public blockchain, as well as a cryptocurrency project with complete open sourcing. At the moment, Cardano is working on a smart contract platform. When completed, this will provide features that are more advanced than any other protocol developed so far.
Who Is Behind Cardano?
Three organizations are working together to create Cardano. The Cardano Foundation is based in Switzerland. This independent standards body is designed to support Cardano users and work with the authorities concerning commercial and regulatory matters. IOHK is a leader in cryptocurrency development and research, and it has the contract for platform development until 2020. Finally, Emurgo invests in startups and helps commercial ventures build on the existing Cardano blockchain.
What Makes Cardano Unique?
Out of all the blockchain technologies, Cardano is the very first blockchain-based platform that came from a research-driven approach and scientific philosophy. Instead of just a basic whitepaper, Cardano has a series of academic papers for investors to explore. The team behind Cardano’s development is a global collective filled with expert researchers and engineers.
The team behind Cardano took this unique approach because they recognize that technology must be flexible, scalable, and secure if millions of users are able to take advantage of it. Because of this, the team put as much emphasis on scientific rigor when developing Cardano and the Ada cryptocurrency as they would with mission-critical systems in banking or aerospace.
Another way that Cardano stands out is that it will balance out the needs of regulators and users while working in privacy and regulation. As such, Cardano should introduce a new type of regulated computing that allows for improved financial inclusion via its open access.
Cardano Offers a Cryptocurrency and a Technological Platform
In addition to offering a cryptocurrency, Ada, Cardano has a technological platform. When completed, it can run financial applications that individuals, governments, and other organizations worldwide use on a daily basis. The team is constructing the platform in a series of layers, as this allows for flexibility for future upgrades and simpler maintenance. The project begins with the settlement layer that will be used to run Ada. After this, the team will build a computer layer that handles smart contracts, which are the digital legal agreements underpinning future business and commerce. Additionally, Cardano will run dapps, or decentralized applications that operate using a blockchain instead of being controlled by one party.
What Should You Know About Ada Cryptocurrency?
Ada is the cryptocurrency behind Cardano, and it is used to receive and send digital funds. The developers feel that digital cash, like Ada, shows how money will be in the future. It allows for quick direct transfers with guaranteed security thanks to cryptography.
In order to use Ada, investors must use the Daedalus wallet, which is a hierarchical deterministic, multiplatform, secure wallet designed specifically for this cryptocurrency. The wallet is simple to install, and it allows you to view everything and even search for transactions. You use it to view specific information concerning the state of the blockchain. It also features encrypted spending passwords and private keys for added security and the ability to be exported into a paper certificate for cold storage. Ada redemption can be via unencrypted or encrypted redemption certificates, and users can configure the transaction assurance level.
The team of developers behind Cardano is working to add support for Ethereum Classic and Bitcoin and to create a mobile wallet for both iOS and Android. They are also working on an application store that includes support for nearly all cryptocurrencies and community-built applications, as well as staking, which will let Ada holders generate blocks and earn more.
How to Buy Cardano ADA
Currently, you can buy or sell Ada cryptocurrency via one of several exchanges, with the list growing constantly. The cryptocurrency will also eventually be available at certain ATMs in Japan. Those with Ada will also be able to opt for a Cardano debit card, which lets you use it just like any other currency. The funds are converted automatically into your local currency for seamless use. The debit card will be connected to an application, so you can track transactions and your Ada balance.
Here’s how to purchase some ADA now …
You are not able to purchase ADA with “Fiat” currency so you will need to first purchase another currency – the easiest to buy are Bitcoin or Ethereum which you can do at Coinbase using a bank transfer or debit / credit card purchase and then swap that for ADA at an exchange such as Binance.
Register at Coinbase
For first time buyers of crypto currency, we recommend that you use Coinbase to make your first purchase – its easy to use, fully regulated by the US government so you know it is one of the safest and most reputable places to purchase cryptocurrency from. Coinbase offers the ability to purchase Bitcoin, Litecoin and Ethereum with a credit or debit card or by sending a bank transfer. The fees are higher for cards but you will receive your currency instantly.
You will have to carry out some identity verification when signing up as they have to adhere to strict financial guidelines. Make sure you use our link to signup you will be credited with $10 in free bitcoin when you make your first purchase of $100.
To get started, click the “Sign up” button where you will be taken to a registration form where you will need to enter your name, email and choose a password.
Coinbase will then send you a link via email to verify your email account, once you click the link in the email you will be taken to a verification page. You must then add your phone number and upload a photo of your ID – this can be a passport, driving license etc. You also have to add your payment details, so you can add your bank account or a debit or credit card as required – after a short period your account will then be verified and you can then make your first purchase.
Purchase Ethereum or Bitcoin
For this guide, we will be purchasing Ethereum to swap for our target cryptocurrency. The reason for this is that it has far cheaper fees than bitcoin for sending and the transaction also happens a lot faster. So in Coinbase, visit the “Buy / Sell” tab at the top, select “Ethereum”, choose your payment method and enter the amount you wish to purchase – you can either enter a US Dollar amount or a number of Ether.
You will then be asked to confirm your transaction, if paying with a card you might have to complete a verification with your card provider. Once that’s complete, your Ethererum will be added to your account.
Purchase ADA at Binance
How Does Ouroboros Use Proof-of-Stake Mining?
Within Cardano, you will find a new algorithm for proof-of-stake mining, known as Ouroboros. This algorithm determines how the various nodes come to a consensus concerning the network. It represents a significant innovation in the world of blockchain technology and eliminates the need for a proof-of-work protocol that uses up energy. As that energy consumption is what prevents blockchain scaling to be used more widely, Ouroboros is an important advancement.
The Ouroboros system was designed by a team with Professor Aggelos Kiayias, the IOHK chief scientist, in the lead, and it is the very first proof-of-stake protocol that has been mathematically proven to be secure. It is also the first to undergo peer review, which happened as part of being accepted to the leading cryptography conference, Crypto 2017. As such, Ouroboros’ security is comparable to the blockchain of Bitcoin, something that hasn’t been compromised.
With the proof-of-stake algorithm of Ouroboros, the stakeholder to create the next block is selected randomly, based on the blockchain ledger and proportional to the size of their stake. “Proof” refers to evidence that all transaction blocks are legitimate. “Stake” refers to the relative value that node addresses hold.
What Other Proprietary Technology Does Cardano Have?
Cardano has a unique Block Explorer, which allows you to check transaction histories. Transactions involving Ada are publicly recorded via the blockchain, letting you see the date and time of the transaction, the amount sent, and the sender’s public address. The real version will be launched very soon, and the Cardano Testnet version is already active.
Cardano seems to be a reliable blockchain platform, thanks to its unique approach of actually using scientific methods in development. We expect great things from Cardano in the future between its use of the scientific philosophy and the fact that it is fully open source.