CARDANO (ADA) – A BRIEF INTRO FOR INVESTORS
The only academic and peer-reviewed blockchain platform, Cardano provides a multi-layered solution to create a scalable digital payments network, along with a smart contracts platform. Offering flexibility and interoperability with other public blockchains, Cardano is interoperable with other public blockchains, making it a flexible platform for both developers and users.
- The project is run by three different organizations: Cardano Foundation, IOHK, and Emurgo
- Cardano platform uses Haskell programming language
- The open source Daedalus wallet will hold ADA tokens and provide functionality to build apps and store other tokens
- Allows for the design of dAPPs, smart contracts, and cross-blockchain functionality
There is a finite supply of ADA of 45 billion. 25% of the mining block reward goes back into the Cardano treasury to help grow the project.
The Haskell programming language allows for significant flexibility and an acceptable margin of error for developers looking to create smart contracts and dAPPs. The Ouroboros proof-of-stake consensus mechanism divides each block into slots and uses a lottery-based system to select slot leaders to mine each slot, and in turn receive the appropriate mining reward. Slots can be subdivided an infinite amount of times, making for easy scalability with network demand.
Cardano operates as a public blockchain with publicly recorded transactions. Additional privacy functionality will allow users to opt-in for their identity to be made known via block transactions.
Cardano is the brainchild of Charles Hoskinson, the former co-founder of Bitshares and Ethereum. The Cardano Foundation develops the internal platform while Emurgo heads R&D for applications built on the Cardano blockchain.
The solution to an all-in-one digital world exists in the multi-platform functionality of Cardano. Flexibility is given to both developers and users, and transactions are made seamless via the Daedalus wallet which offers interoperability with other public blockchains.
Cardano promises to be a blockchain tehnology that allows decentralized apps and contracts to be built and delivered in a way that is low-cost, secure and scalable. It can be looked at as three components of a larger whole.
The Cardano Settlement Layer (CSL) is the foundational layer of the blockchain, which serves as the decentralized ledger secured by a proprietary proof-of-stake consensus model.
The Cardano Computational Layer (CCL) is where smart contracts and applications will be built, detached from the CSL so as to create different computational rules. Cardano also allows for the use of sidechains for the CSL and CCL to function together as well as with other public blockchains.
The Cardano native token, ADA, is a store of value to be used for transactions on the blockchain, to pay for the cost of transacting, as well as securing a vote in the proof-of-stake consensus mechanism.
HOW TO BUY CARDANO
Cardano can be purchased on select cryptocurrency exchanges. There are a few exchanges on which ADA can be purchased via fiat currency, but they are rare and most exchanges allow for trading with Bitcoin or Ethereum. Deposit funds into the appropriate exchange and follow that exchange’s directions to purchase ADA.