Cardano network hits a new milestone as it amasses 1 million wallets that are staking the ADA token. According to pool.pm, a Cardano-tracking site, there are currently 1,000,000 holders of the world’s sixth-largest crypto by market cap.
Over the last several months, the smart contract platform has experienced an increase in the number of active addresses. According to a data analysis platform, Messari, on November 22nd, the number of active accounts shot up to 485,693.
The number of active accounts skyrocketed to the network’s all-time high as the ADA token hit below the $2.00 mark. However, the number plummeted to 150,476 on December 5th. The increased investment in the ADA token can also be attributed to the network launching smart contracts on September 12th. The launch of the smart contracts has made many look to the network as Ethereum’s next beater.
This huge milestone for the Cardano network comes after a prediction by the creator, Charles Hoskinson. The Input Output, Hong Kong CEO, predicted that by the end of the year, decentralized exchanges(DEXes) would be the 6th largest crypto by market cap.
At the time of writing, the ADA token is trading at $1.33, a 0.28% decrease within 24 hours.
What is Cardano?
Cardano is a decentralized proof-of-stake(PoS) blockchain platform. The blockchain platform aims to be a decentralized application (DApp) development platform with verifiable smart contracts and a multi-asset ledger.
Additionally, the third-generation network is designed to be an effective substitute to proof-of-work(PoW) networks.
What’s the distinction between proof of stake and proof of work? With the latter, miners have to verify the legitimacy of their transactions by solving complex puzzles. However, miners validate their block transactions based on how many coins they hold with the former.
Crypto mining on PoW consumes significant energy, while PoS’ mining power is based on the number of coins a miner holds. Additionally, miners consider Proof of Stake safer as it makes attacking the network less advantageous to the attacker.
Consequentially, the Cardano network boasts of being more energy-efficient than its peers. On top of that, the blockchain is more scalable and adaptable in comparison to its peers.
Charles Hoskinson, who also co-founded the Ethereum network, began developing the Cardano network in 2015. After that, Hoskinson launched the platform in 2017. The blockchain platform positions itself as Ethereum’s alternative. Moreover, Cardano considers itself Ethereum’s updated version.
More on the Cardano Network
It’s important to note that ADA token holders on the Cardano network have a stake in the protocol. This take corresponds to the number of ADA tokens the users hold in their wallets. Successively, the users get to stake their digital assets or delegate tokens to earn rewards.
Just a month ago, the Cardano network launched the ADACash. ADACash is a new token on the Binance Smart Chain (BSC). By staking the ADACash token, users earn 10& ADA rewards. In less than two weeks after its inception, the ADACash token amassed over 10,000 holders, hitting a market cap of $40 million.