Cardano [ADA] is making waves with its much-awaited Shelley project, which will make its network fully decentralized. Though Cardano is still in its early stages, social trading and investment marketplace eToro believes that the coin is “one of the most promising blockchain projects we’ve ever seen”.
According to an analysis conducted by Mati Greenspan, eToro senior market analyst, the network is more scalable and flexible compared with older cryptocurrencies such as Bitcoin and Ethereum.
“Cardano has the potential to become a very successful project as it progresses through its long and ambitious roadmap,” he said.
Cardano – pioneer in proof-of-stake
The network claims to be the first blockchain that has implemented a fair proof-of-stake protocol. This algorithm is seen to be more secure and could be the new standard for virtual currencies. Ethereum, the second most valuable cryptocurrency, will be transitioning to this model in the near future.
The report found that the coin’s network has the potential to represent the next stage of the Ethereum blockchain because of the fact that it has the infrastructure required to ensure that decentralized applications run securely.
Greenspan believes that any application which involves transferring money or storing records can use the technology behind the coin. This is because its network implements an environment where smart contracts, decentralized application and secure transactions are available.
Cardano’s potentially lucrative tie-ups
Moreover, the Cardano Foundation has inked many partnerships to advance the use of the blockchain technology. Most recently, it partnered with commercial think-tank Z/Yen to research proofs of concept based on blockchain technology, which will provide new use cases for the cryptocurrency.
The report added that many projects are considering moving from the Ethereum blockchain to that of Cardano. Traxia [TMT], which launched its ICO in March, is currently running on the Ethereum network. Traxia plans to be integrated with Cardano in the fourth quarter this year, once the Goguen update goes live, making it one of the first implementations of the techonology.
Greenspan pointed out that many pharmaceutical companies that are currently running on Ethereum are mulling migrating to the Cardano network.
The team behind the digital asset has also inked an agreement with the Ethiopian government to develop blockchain-based solutions for the country’s agricultural industry.
For now, Greenspan mentioned that it is difficult to fully analyze the coin’s valuation since the network is still in its early stages. Not all of the network’s features are fully operational yet, making it hard to predict transaction volumes. However, he noted that the price of the digital asset could rise if more decentralized applications and services launch on the platform.
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