Futuristic and feature-rich cryptocurrencies like Cardano are making the crypto-adoption initiative smoother and worthy. And yet, the price of Cardano’s native token, ADA, has stalled somewhat since the network’s upgrades a few months ago. Especially when compared to other alts in the market.
Even so, Cardano does have plans to revolutionize its blockchain into an interoperable one. In fact, it even has ideas to compete with its biggest rival – Ethereum.
Here are some aspects / ideas that the CEO of Cardano discussed during the last WADA session.
Charles Hoskinson, one of the most recognized figures across the globe shared his narrative concerning some integration for Cardano and its ecosystem.
Cardano’s Layer 2 solution was designed alongside blockchain as a preventative solution for potential blockchain scalability issues. First, on Rollups. These execute transactions outside of the Layer 1 blockchain. Like most Layer 2 solutions, stacks increase transaction yields and reduce gas costs. “They are improving year after year. Now I’m saying every system has an idea, ”he added.
“We’ll get rollups for free with Mamba, So when the EVM sidechain comes those roll up infrastructures, can and will be rolled over as a scalability solution for the EVM Sidechain.”
The Ethereum Virtual Machine (EVM) side chain along with this development will help Cardano to worsen its DeFi space potential. However, the question still remains. Does Cardano need roll-ups on the main chain? Well, he certainly sees potential here. Moreover, he suspects that
“… Many DEXs will evolve in this particular direction. So it’s something out there, it’s a buy instead of a build because there are already a lot of great solutions out there that bring it to L2 (s). We’ll get them on the Ethereum side first, but certainly it’s going to be fun to port some of those to the UTXO model.”
Cardano aiming for the sky
As stated earlier, the UTXO model brings the best of both worlds; Cardano and Ethereum. Hoskinson reiterated or rather compared the same in an old interview to compare his platform to its arch rival, ETH.
Moving on, he also touched on the proofs of zero knowledge. These have become an important tool for addressing privacy and scalability concerns in cryptocurrencies and other applications. For example, Sonic. Likewise, “we’ve seen a lot of progress with plunk and there’s a lot of next gen ZK stuff coming to life,” he said.
StarkWare made some interesting design choices – as acknowledged by IOHK CEO. ‘These designs were future-proof from a premonitory point of view, that they use hash-based crypto, so they are post-Quantum. However, not quite as efficient as the classical ones, Hoskinson added. This is where Cardano’s Catalyst fund comes into the picture.
“This is a great company for someone who wants to do something on Cardano when the Catalyst funds become available. We’ll see a whole wave of ZK companies come in, I think we’re one of the best positions of the ventures in the crypto space to pursue this.”
On top of that, Hydra will play a crucial role as well as the fact that Cardano will get immense traction soon. Hydra provides the network with greater efficiency by enabling most of the transactions to be processed off-chain, using the main-chain ledger as the secure settlement layer.
The Hydra Head protocol is still in the testing phase. Although he didn’t mention a release date – but he’s optimistic about the aforementioned developments. Nevertheless, history shows, some delays could be a possibility. Even for the November fork event, as it stands – it will be clubbed with the February schedule for a “bigger release”.
Yet, HODLers community stay positive on this crypto.
