Cardano’s ADA has soared to pass the $3 mark for the very first time. This impressive performance can be credited to the excitement around developers kicking off major upgrades that will allow the building of smart contracts on their network.
How does Cardano rank?
This comparatively lesser-known cryptocurrency is the latest company to make it into the big leagues. A few weeks ago, Cardano beat Binance coin to become the world’s third-biggest cryptocurrency by market capitalization, after Bitcoin and Ethereum.
The network upgrade will come with smart contracts capability. These smart contracts will allow investors to enter financial agreements without a centralized party, making the Cardano blockchain more attractive to users and new investors.
With this move, Cardano will position itself as a rival to Ethereum because ETH also offers smart contracts on its blockchain.
How does Cardano differ from Bitcoin and Ethereum?
Bitcoin and Ethereum remain the top two cryptocurrencies in the market, by far. However, ADA is growing rapidly and cannot be ignored. Here’s how it differs from the big two.
ADA transactions get verified using proof of stake and ownership which uses less energy. However, the others use proof of work, which rewards effort.
The supply of Cardano’s ADA and bitcoins is limited, unlike Ether’s
Ethereum has smart contracts, which they constantly use to increase institutional investor interest, while ADA’s program will go live later in September.
Cardano’s ADA price has climbed over 130% over the last 30 days. Speculators are expecting a further increase in the short term. Since crypto is volatile, anyone who wants to buy or sell Cardano will need to do further analysis to ensure they safely take care of their short- and long-term goals.
