How Cardano Became Valuable In Crypto Space
Last month, Cardano and its native virtual cryptocurrency ADA became the third-largest crypto in the world. Currently, crypto is one of the most valued cryptocurrencies with high sustainable properties.
Even though people are more familiar with Bitcoin and Ethereum, lesser-known cryptocurrencies like ADA are gaining massive popularity due to their phenomenal growth. Cardano is undoubtedly one to watch out for in the coming months. Currently, Cardano native currency ADA is the third-largest cryptocurrency with a market capitalization of $72 billion. Thanks to a 1000% increase in value in the last 12 months, things look promising for the cryptocurrency. It is one of the very few crypto with sustainable and tangible properties. ADA is currently only surpassed by Bitcoin and Ethereum.
In a world where there’s much talk about crypto and sustainability, Cardano is standing tall. Recent sustainability questions around crypto have seen the likes of Bitcoin fall. Bitcoin even lost a crucial supporter in SpaceX founder Elon Musk, who mentioned a lack of sustainability as the reason for favoring Dogecoin over Bitcoin.
Why Is ADA Sustainable?
ADA blockchain protocol is what makes it sustainable. Unlike Bitcoin, ADA does not need computers to create new ADA units and process transactions. Cardano utilizes a proof of stake system such that miners put their cryptocurrency as a stake to validate any transaction. This way, Cardano’s power consumption is just a small fraction of Bitcoin’s network usage.
From the official website, ADA will rival technological giants in terms of Capitalization. According to the website, “It might be fair to compare blockchain projects with the current technology giants like Microsoft, Apple and, Amazon.”
In addition, Cardano recently introduced an Alonzo hard fork upgrade. With this upgrade, users can create and deploy smart contracts on the Cardano blockchain. This upgrade will also enable Cardano host to use cases like Decentralized finance (DeFi), thus boosting ease of transaction.