While Bitcoin and Ethereum are in a league of their own when it comes to the biggest cryptocurrencies, there’s one cryptocurrency that’s slowly creeping on them – Cardano. Recently, Cardano made giant leaps to become the third-biggest cryptocurrency in the world. As a result, it has caught the eye of many existing and prospective crypto investors. Market analysts said that the crypto market was experiencing a ‘quiet’ phase, which is what makes Cardano’s rise all the more spectacular.
But how has Cardano suddenly managed to achieve so much in so little time? The answer lies in a software upgrade that tweaked the cryptocurrency’s abilities. Another upgrade is scheduled for mid-September, which will see smart contract functionality make its way to Cardano, along with several decentralized finance (DeFi) apps. The upcoming upgrade is sure to propel Cardano even higher, even though it has much catching up to do if it hopes to eclipse either Ethereum or Bitcoin.
In its nascent stages, Cardano was a third-gen blockchain network, which made it different from Bitcoin (first-gen) and Ethereum (second-gen). It aims to offer stiff competition to Ethereum by providing a network that’s more efficient, scalable, and secure.
Much of Cardano’s success is based on its ‘proof of stake’ (PoS) consensus algorithm. Both Bitcoin and Ethereum have ‘proof of work’ (PoW) algorithms, which are significantly more time-consuming and energy-intensive.
All in all, Cardano remains one of the most attractive cryptocurrencies to invest in. Its rapid rise to become one of the biggest cryptocurrencies in the world has been nothing short of stunning. The interesting thing to be seen is whether or not it can actually become bigger than Ethereum or Bitcoin.