Why Cardano is the right investment right now! PART 2. A comparison with Ethereum.

By CryptoBible00789 | Understanding global trends | 7 Mar 2021

Hi everyone, let's compare Cardano with Ethereum and discover why Cardano's run has just begun.

Our Cardano articles:

Why Cardano is the right investment right now! PART 1. A fundamental look at Bitcoin, Ethereum and Cardano.
Why Cardano is the right investment right now! PART 2. A comparison with Ethereum.

Ethereum.

Despite Ethereum's insane run which catapulted it towards a $2000 ETH, a new all-time high, the network remains plagued by even more insane fees, effectively holding several Ethereum based projects back. From USDC's transition to Stellar to rendering many DeFi protocols practically unusable for traders, the spiking Ethereum gas fees are the project's Achilles heel. It offers opportunities to other crypto currency networks, such as the now rapidly maturing Cardano project.

Cardano.

Introduction.

During the recent crypto correction, one project remained unaffected: Cardano. So what is Cardano all about and what's to come in the short term?

Cardano was founded in 2015 by Charles Hoskinson, an Ethereum co-founder, and is, similar to Ethereum, a cryptocurrency infrastructure network that allows for the creation of assets and decentralized applications. However Cardano uses Proof of Stake, is more decentralized and 100 times faster than Ethereum. Cardano's native crypto currency is called ADA, and it is used for staking by validators as well as delegators, for network fee payments and for voting on future network changes.

The network went live in 2017, yet is not finished as each new feature is rigorously tested and peer-reviewed, in one of the by now more than 100 published peer-reviewed papers.

Past, current and future development.

Find all the content in the Cardano Roadmap. The development of Cardano is divided into 5 era's or development stages:

The Byron-stage is completed: creation of Cardano network and ADA coin;
The Shelley-stage is completed: staking and decentralization;
The Goguen-stage is now being developed: integration of smart contract functionality (The Mary hard fork marked the project's halfway point); The KEVM or K Ethereum Virtual Machine allows Ethereum developers to essentially copy their ERC-20 tokens to Cardano, by writing Cardano smart contracts using Ethereum's Solidity programming language;
The Basho-stage will be all about scaling and interoperability;
The Voltaire-stage has already launched project Catalyst, which in return launched a series of funding rounds for early developers who are eagerly anticipating the expansion of the Cardano ecosystem, and are already developing projects. You can also start with voting by using the Daedalus Wallet: voting requires you to have at least 3,000 ADA. For some an easy way to gain some extra ADA, knowing that 20% of the Catalyst Treasury is earmarked for voting and participation in the project.

The Mary hard fork is bringing native assets to the Cardano blockchain, similar to Ethereum's ERC-20 tokens, yet they do not require smart contracts to operate. In fact, they are, similar to ADA, built on the original Cardano blockchain. It is also possible to send multiple assets in a single transaction, whereas the Ethereum blockchain only allows one token amount per transaction.

Asset creation on Cardano.

The creation of new Cardano assets is now only possible by using the Command Line Interface (CLI), yet it will soon be possible to mint native assets by using the Cardano Token Builder. In the near future you will be able to mint assets directly into the Daedalus Wallet.

By the end of this year, when the Plutus and Marlow main nets are launched, Cardano will support smart contracts and they will also roll out the ERC-20 converter. By using Cardano's ERC-20 Converter, one can convert Ethereum ERC-20 tokens to the Cardano network.

Recent news about Cardano.

Grayscale rumors about Cardano implementation in its investment program, including a Grayscale trust for Cardano.

Gene Simmons blows a KISS to Cardano: Rocker announces hefty ADA purchase.

Dubai Fund Sells $750 Million of Bitcoin to Buy Cardano, Polkadot.

Cardano to hit $7-$10 during this bull run cycle according to Michaël van de Poppe.

Cardano is at the final stages of a large African government contract which would have multimillion users being onboarded onto the platform for a real world blockchain implementation, citing, “I think that this deployment will actually be the largest blockchain deployment done anywhere, period. I am not including speculative asset trading […] but an actual real world deployment in the world.”

Conclusion - Disclaimer

Given all the research I did and taking other researcher's information in account, it is my personal believe that something big is going to happen to Cardano this year. However, this is not financial advice and you should always do your own research.