Cardano (ADA): According to an academic from Qatar University, bitcoin’s POW mining is a threat to our environment. His argument is that this mining model is so energy intensive that its climate effects might be larger than the supposed benefits cryptocurrencies that use it for new coin generation. This is not the first time that the viability of POW mining has been put into question, especially in a world that is increasingly aware of the existential threat of climate change.
The solution without a doubt lies in the energy-efficient proof-of-stake mining. Unfortunately, POS comes with security challenges that most POS cryptos have been unable to fully tackle. The only crypto that seems to have got POS right is Cardano (ADA). Cardano uses a Proof-of-Stake mining algorithm known as Ouroboros.
Ouroboros stands out for a number of reason. First, it is the only proof-of-stake algorithm that has been proven to be secure. This is a major win for Cardano because, Cardano can be mined in an energy friendly manner, and without the security risks that come with POS mining. Ouroboros security has been shown to be at par with that bitcoin (BTC) albeit without the energy costs. It is the perfect answer to the problem of bitcoin’s proof-of-work that is clearly not sustainable in the long-run.
Clearly, Cardano has a leg up when it comes to the direction that cryptocurrency will be taking in the future. By the time other projects come up with workable POS algorithms, Cardano will be miles ahead in terms of adoption. But its adoption won’t solely be on the basis of Ouroboros being secure. It will also gain in adoption because this algorithm makes Cardano highly scalable, to a level where it can handle millions of transactions without any congestion issues in the network.
This makes Cardano a perfect fit for developers looking to create Dapps that are aimed at large-scale application in the real world. In the future, Cardano will most likely be integrated into every aspect of the global economy ranging from finance to decentralized social networks.
Therefore, with Ouroboros and the growing skepticism around Proof-of-Work mining, Cardano is on the right side of thing and its long-term price growth is somewhat guaranteed. By the time, the Cardano team completes the roadmap, Cardano could very easily be a trillion dollar crypto, just like Charles Hoskinson postulated some time back.
In other news, Cardano (ADA) is working on updates to improve on block time speeds, and cut on memory requirements. These are all steps that will cumulatively put Cardano at the top of the crypto rankings.
As such, a Cardano investor should not be looking at the current price of this project, but rather on its future. In a few years, Cardano could easily be worth over $10 a coin. It’s a crypto that has the potential to make people with significant holdings, and the patience to wait it out extremely wealthy. Its roadmap is very promising and its valuation insanely attractive.