{"id":16,"date":"2021-12-15T17:49:36","date_gmt":"2021-12-15T17:49:36","guid":{"rendered":"https:\/\/www.bitvalve.com\/blog\/?p=16"},"modified":"2021-12-15T20:53:54","modified_gmt":"2021-12-15T20:53:54","slug":"cardano-ada-key-concepts","status":"publish","type":"post","link":"https:\/\/www.bitvalve.com\/blog\/cardano-ada-key-concepts\/","title":{"rendered":"Cardano (ADA): Key Concepts"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large is-resized\"><img decoding=\"async\" src=\"https:\/\/www.bitvalve.com\/blog\/wp-content\/uploads\/2021\/12\/pcwoez71s1e-1024x682.jpg\" alt=\"gold and black round decor\" class=\"wp-image-17\" width=\"607\" height=\"404\" srcset=\"https:\/\/blog.bitvalve.com\/blog\/wp-content\/uploads\/2021\/12\/pcwoez71s1e-1024x682.jpg 1024w, https:\/\/blog.bitvalve.com\/blog\/wp-content\/uploads\/2021\/12\/pcwoez71s1e-300x200.jpg 300w, https:\/\/blog.bitvalve.com\/blog\/wp-content\/uploads\/2021\/12\/pcwoez71s1e-768x511.jpg 768w, https:\/\/blog.bitvalve.com\/blog\/wp-content\/uploads\/2021\/12\/pcwoez71s1e-1536x1022.jpg 1536w, https:\/\/blog.bitvalve.com\/blog\/wp-content\/uploads\/2021\/12\/pcwoez71s1e-1200x799.jpg 1200w, https:\/\/blog.bitvalve.com\/blog\/wp-content\/uploads\/2021\/12\/pcwoez71s1e.jpg 1600w\" sizes=\"(max-width: 607px) 100vw, 607px\" \/><\/figure>\n\n\n\n<p>The cryptocurrency industry moved top-flight by storm when Bitcoin started the blockchain in 2009. The cryptocurrency&#8217;s position gave it a market advantage by singular design. It has grown to be the most popular cryptocurrency as an alternative value store. Ethereum followed in 2015 to bring new features into the industry. These include smart contracts to track digital transactions and initiate agreements automatically under certain conditions.&nbsp;<\/p>\n\n\n\n<p>Cardano entered the industry as one of the most popular blockchain platforms, although it has been affected by market price fluctuations many times. Sometime last year, Cardano&#8217;s ADA fell below $0.02 before it later soared by about 7400 % since that time. Many happenings have seen the coin rise to third place as best performing currencies by market capitalization, Bitcoin and Ethereum on the frontline. &nbsp;<\/p>\n\n\n\n<p><strong>Understanding Cardano&#8217;s Philosophy<\/strong><\/p>\n\n\n\n<p>Cardano stands out from most cryptocurrencies because it adopted several unique structural principles and engineered effective strategies to achieve its primary objectives. Its continued exploration in the digital coin space created more channels to attract massive global prominence within the shortest time.&nbsp;<\/p>\n\n\n\n<p><strong>ADA&#8217;s Blockchain Architecture<\/strong><\/p>\n\n\n\n<p>Cardano distinguishes itself from the regular smart contract blockchain with two layers- the <a href=\"https:\/\/why.cardano.org\/en\/introduction\/cardano-computation-layer\/\">Cardano Computational Layer <\/a>(CCL) and the Cardano Settlement Layer (CSL). The two stratifications are different from Ethereum, which operates a single-layer network. It has had its share of drawbacks, including low payment speeds, high power costs, and intense network congestion.&nbsp;<\/p>\n\n\n\n<p>ADA&#8217;s balance ledger, CSL, will address the issue by enhancing peer to peer token transfers between investors. It runs on Ouroboros protocol- proof of stake algorithm that verifies transactions and generates new crypto blocks. Subsequently, the team that developed the crypto coin divided physical time into slotted epochs for the protocol. The tech works so that when an epoch ends, another one automatically comes online. Ideally, the process of moving Ouroboros removes the need to use a PoW protocol that requires extreme energy to operate. Such consumption, for instance, has raised controversies in cryptocurrency as the public began having negative opinions regarding BTC and ETH networks. Cardano aims to provide a better consensus protocol with lesser congestion than what Bitcoin offers.<\/p>\n\n\n\n<p>Cardano distinguishes itself from the CCL layer, which runs the blockchain&#8217;s computational needs to execute smart contracts effectively. CCL also emphasizes flexibility as it operates as a lone layer from CSL. The &#8220;off-the-blockchain&#8221; protocol enables investors to store data flexibly and control how they transact with Cardano.<\/p>\n\n\n\n<p><strong>The Developers Behind Cardano<\/strong><\/p>\n\n\n\n<p>A company in Hong Kong, Input-Output, supports Cardano for profitability. The company signed a longer-term contract with another blockchain organization called Emurgo to embrace financial inclusion and extensive user cases in Africa to raise people&#8217;s living standards.&nbsp;<\/p>\n\n\n\n<p>The Cardano team has also developed a foundation bearing the coin&#8217;s name to standardize, protect, and promote the cryptocurrency industry. The Swiss-based non-profit foundation independently appreciates Cardano&#8217;s blockchain technology to develop partnerships with multiple organizations across the globe. It also aims to make the legislation system better to impact the blockchain and cryptocurrency space positively.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The cryptocurrency industry moved top-flight by storm when Bitcoin started the blockchain in 2009. The cryptocurrency&#8217;s position gave it a market advantage by singular design. It has grown to be the most popular cryptocurrency as an alternative value store. Ethereum followed in 2015 to bring new features into the industry. These include smart contracts to&#8230;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[7,6],"class_list":["post-16","post","type-post","status-publish","format-standard","hentry","category-crypto-news-updates","tag-ada","tag-cardano"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v19.3 (Yoast SEO v27.5) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Cardano (ADA): Key Concepts - BitValve Blog<\/title>\n<meta name=\"description\" content=\"Cardano (ADA): Key Concepts - The Crypto&#039;s Philosophy, Blockchain Architecture and the Team Behind Its Development.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.bitvalve.com\/blog\/cardano-ada-key-concepts\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Cardano (ADA): Key Concepts\" \/>\n<meta property=\"og:description\" content=\"Cardano (ADA): Key Concepts - 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