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Cardano Overview | Cardano Explained 2022 .

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Hello, this is "Mr.Crypt" and in this blog post I'm going to give you everything that you need to know about Cardano .  I need to give you a disclaimer before I talk about Cardano. I am not a financial advisor , I'm just an educator and this blog post is written with the sole purpose of providing you factual information. Please contact a financial advisor if your portfolio has been killed. If you're new here, you might be feeling a little bit lost right  My name is "MrCrypt "and I am your crypto geek here at the cryptolibrarynow I pass on the knowledge of cryptocurrencies, exchanges, DeFi, protocols, NFT'S and market analysis are just a few of the topics I tackle on the daily basis. Now enough with the intro. Let's get it on , Let's unpack "What Is" Cardano... 

What is Cardano?

The Cardano project, which is the home of the ADA cryptocurrency, touts itself as more than just a digital currency. This project aims to be a technical platform that uses its rules and guidelines to create a decentralized blockchain which can be used by people around the world Cardano sets itself apart from. Other cryptocurrency projects by focusing on development driven by scientific methodology. Research for the project is sent to academic institutions for review prior to development. The project is broken into three distinct areas. The Cardano Foundation, Iohk, and Emergo will get more into these a little later on. Project leadership believes that this type of methodology will help define and create a superior network. Cardano is being built in layers, which makes the system flexible. This way, upgrades to the platform can happen easily by way of soft forks. As the project makes progress, it'll eventually run decentralized applications. For now though, its goal is to provide a secure, scalable and usable platform available for millions of users. It can be difficult to wrap your head around exactly what Cardano is, so to get a better understanding, let's dive into the tech behind the project. There are a lot of technical specs and jargon that we could get into surrounding the cardano project. However, one of the more important areas of this project is what Cardano calls its layered system. What does this mean? Well, basically that Cardano uses separate layers, one of which runs smart contracts, others run ADA exchanges. The Ada portion of the Cardano project resides on the settlement layer . Currently, the settlement layer offers the functionality for ADA along with a basic accounting Ledger. Cardano uses the Haskell programming language for its settlement layer implementation and works closely with the Tokyo Institute of Technology, the University of Athens, and the University of Edinburgh for Development the Cardano settlement layer or CSL uses proof of stake to create new blocks while also confirming transactions. Also part of the CSL are side chains which link to other ledgers, multiple user issued assets, and scalability, which increases system capabilities as additional users join. In addition to the CSL, cordano has a second layer. Which it refers to as its control layer or Cardano computation layer or CCL for short.

Cardano Control Layer -:

This layer provides a framework that will support sophisticated and advanced systems. Think something along the lines of betting or gaming systems. The CCL is the layer which holds the data on why transactions take place. It's also on this layer that Cardano smart contracts reside. Since the CCL layer is separate from the CSL, users have the ability to create new services that won't conform to varying jurisdictions. Something to note with Cardano's layered architecture is the security it provides for its smart contracts. The project argues that the security of smart contracts on its platform exceeds anyone else's. This is due to the layers within the project which prevent data tampering once it is on the blockchain. One last item to consider, which we have previously touched on, is that cardano uses Haskell for development purposes. This is important because it offers the flexibility needed to adapt and adjust as the system changes . So now that you have a basic understanding of the Cardano architecture, let's take a moment to look at its proof of stake protocol.

Proof of Stake -:

Now in general proof of state consensus is designed to promote long term participation and engagement from the user. However, Cardano is taking this one step further with their own unique proof of stake consensus model which is called Ouroboros.

Proof of Stake Consensus -:

The reward mechanisms in this algorithm have shown that it is an honest and fair system. Additionally, in an effort to neutralize selfish users, the consensus does not reward those who deviate from the protocol.

ADA Token -:

But enough with all the technical job. What about cardano's token? Cardano held a presale of their ADA token for almost two years, from January 2015 to September 2017. The tokens were sold for about 1/4 of a penny on average during this presale. This was targeted at primarily Japanese investors with heavy know your customer or KYC requirements in the presale 26 billion of the 45 billion token supply were sold after the ICO. The market cap for Ada was a whopping $109 million, and there were only about 13 billion tokens left at launch. Currently, however, there's a total supply of a little more than 31 billion Ada available. If that amount doesn't shock you, you may be surprised to find out that cardano's first day being listed on coin market cap, the value of each token was ten times the amount of the presale. That's not a huge number, but the growth is impressive. Now, given that Cardano uses a proof of stake consensus mechanism, it means that you'll be able to use your ADA to stake on the network while this is currently not live. Something that I did find quite interesting about this staking mechanism is that it won't offer solo staking. You'll either have to run your own pool or join one. This has been done in order to incentivize load operation by participants on the network, so some forward thinking going on there. Anyways, how has Ada faired in price? Well, it's been pretty stable in the past year or so. It dropped a bit this year, but overall, compared to its huge tank in January 2018, it's held pretty steady. Let's leave the prices alone now and take a look at the Cardano leadership team, Charles Hoskinson founded Cardano along with his cofounder Jeremy Wood in 2015. They are the chief executive officer and chief Strategy officer, respectively of the input output HK organization, which is the primary contributor to the Cardano project now. Currently, the Cardano project is handled by three entities, one of which is the formerly mentioned input output HK. The other two are the Cardano Foundation and Emergo. Input output HK is a limited technology firm contracted to work for the Cardano project until at least 2020. The Cardano Foundation was established to promote Cardano's development and improvement, while Emergo is a startup incubator dedicated to bringing new organizations onto the Cardano blockchain now, while Cardano is handled by these three entities, Charles Hoskinson is the voice of the project. He and Jeremy would have extensive experience in blockchain technology, having worked on Ethereum in the past. In fact, Charles was one of the eight original founders of Ethereum. It was only after a disagreement on the direction of Ethereum that he decided to leave and eventually form Iohk. So now that you know more about the leadership team driving the Cardano forward, let's take a look at its broader road map. 

Broader Roadmap -:

The Cardano project is always evolving. Innovative projects like this are hard to nail down because they're nimble and flexible, but their road map does follow a 5 phase plan to keep them on track. The first phase is called Byron and is the phase Cardano is currently in, although they've started working on phase two. This beginning phase includes initial development of the main network as well as the functionality to complement it. The second phase is called Shelly. Cardano is currently building and testing this phase. It includes full decentralization and the features included are delegation and stake pool test Nets. Recently, this phase of the Cardano project entered testnet, so it's only a matter of time before it's fully realized. At the same time, Cardano announced a partnership with New Balance to celebrate. The third phase is called Goguen. Planning for this phase has already begun. Now. In this phase, the cardano platform will develop a universal language framework to influence the future of blockchain technology. It will also have a virtual machine much like the Ethereum virtual machine. The fourth phase is basher. In this phase, Cardano will improve security, scalability and performance. They'll also work to improve the Oroborous protocol and implement oroborus prios. The fifth phase is called Voltaire. In this final phase cardano will develop a self-sustaining ecosystem for the entire network using the treasury model, which it is a design of their own creation. Now, if you haven't already noticed, cardano named all of their phases after influential authors and a computer scientist, so it's pretty lit. Now, Cardano is a very popular token, usually ranking in the top 10 to 15 coins on coin market cap. It's available on several different exchanges, including coinex, binance, KuObi , and bkex. Ada is often available as a trading pair with usdt, Bitcoin, XRP, and Ethereum.

Volume -:

In terms of volumes, it looks like the bulk of the trading is taking place on binance and coinex. It's well spread out though, so liquidity is not too concentrated onto the individual order books. These look pretty deep and there is strong daily turnover. For example, take a look at the Bitcoin ADA market on Binance, ideal for easy execution. Once you have your ada, you'll want to keep it someplace safe. One place you can keep it is in Cardano's native wallet, Dedalus. This wallet is designed specifically for ADA, and will eventually be used for trading and staking the Cardano token. There are a few other wallets that will hold your ada, although I would suggest the safest place is on a hardware device like a Ledger or TREZOR. So now that we've discussed a little about the Cardano project, let me give you my thoughts on it first. I think it's an exciting project with a lot of promise. It's impressive that Cardano is the only digital currency to use a scientific approach in its development. This makes the project more likely to be future proof, additionally charles Hoskinson is well known in the world of crypto, especially since he comes from projects like Bit-shares and Ethereum. His track record gives Cardano a significant amount of credibility. Finally, Cardano isn't waiting to solve problems like scalability. Some projects can't address this type of challenge yet Cardano has focused on it from the start. As much as I like this project, though, that doesn't mean there aren't areas of concern. While Cardano did launch Shelley in testnet recently, it's notoriously slow in reaching its milestones. For example, the project set the expectation that this phase of the project would be ready in Q1 of this year. We're just a few months. pass that. While the New Balance Partnership is significant, we still don't know if banks will want to work with the project. This is a considerable stepping stone in making Cardano a legitimate player in the financial world. Of course, you're encouraged to do your own research, but I for one am excited that Shelly has finally launched. Hopefully, this will be the start of more great things to come. From Cardano.

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