There are dozens of cryptocurrencies in the market, but only some have shown significant potential to climb the valuation charts. Cardano (ADA) is one of these well-known players. As per CoinMarketCap, this currency is now the 6th largest in terms of market capitalization, and it has gained over 700% in 2021.
However, Cardano’s rise might only be getting started. This time appears to be a good moment to join this emerging contender. There are 3 reasons for this, as detailed below:
1. It is new to the market
Although Cardano was released in 2017, the coin is still in its infancy. It debuted smart contract capability this autumn, allowing developers to create decentralized apps upon the blockchain. According to the Vercel application, there are already over nine hundred scripts running dApps on Cardano. However, deploying dApps on a large scale might take some time. Cardano has taken a carefully planned approach to its growth. It implies that if investors get in on the Cardano wave now, there could be a lot of scope for gains.
2. The speed
Cardano currently outperforms Ethereum and several other cryptocurrencies. It has a processing rate of roughly two hundred and fifty transactions every second. However, it is attempting to improve its speed. Cardano’s Hydra Layer-2 technology ought to be capable of handling one million transactions every second in the future.
The introduction of Hydra is due in 2022, which has the potential to propel Cardano upward. However, perhaps more crucially, it provides Cardano with a motive to prosper in the longer run. The quickness of transfers will be critical if consumers are to use a blockchain for money transfers or otherwise.
3. Planned development
Cardano has outlined a 5-step plan for achieving its main aim of being a self-sustained and decentralized platform. The remaining 2 steps are being actively worked on.
After making any modifications or improvements to the cryptocurrency, it is subjected to peer evaluation. This could delay the process, yet it decreases the likelihood of future problems. Thus, if it guarantees easy-riding ahead, it’s worth investing extra time for it now.