What is Cardano?

The technology that the Cardano uses is brand new, so I am going to give you a complete guide on everything you need to know.

The cryptocurrency industry has created lots of opportunities for new and exciting projects to enter the market — one of these is Cardano and its ADA coin!

The Cardano project started in 2015. The company behind its development are called Input Output Hong Kong (IOHK), which is managed by the co-founder of both BitShares and Ethereum, Charles Hoskinson. The concept of Cardano is to create a blockchain that can perform much better than older blockchains like Ethereum, meaning that it can process more transactions, cheaper transactions and faster transactions. Charles Hoskinson believes that Cardano is a third generation blockchain, whilst Bitcoin and Ethereum are first and second. So, rather than copying the code of other blockchains, IOHK has created its own new blockchain. People sometimes think that Cardano and ADA are the same, however, there is a slight difference. Cardano is the name of the blockchain that allows people to send and receive funds. ADA coin is the name is the cryptocurrency. This is similar to how Ripple works, where Ripple is the name of the blockchain and XRP is the name of the cryptocurrency. The Cardano coin blockchain will also allow people to create smart contracts, just like the Ethereum blockchain. Smart Contracts allow two or more people to enter an agreement without needing a third party, meaning that once pre-defined conditions have been met, everything else is automated. Like most other blockchains, Cardano is decentralized, meaning that it is not controlled by any single authority. Instead, transactions and smart contracts are verified by the community, who do so by contributing their computing power. However, Cardano do things differently to Bitcoin and Ethereum, which I will explain in more detail later. To help raise funds for the development of Cardano, the team raised $63 million during its ICO. Since then, the ADA coin has reached heights of $33 billion in market capitalization.

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