Cardano is a blockchain platform for change makers, innovators, and missionaries. With the tools and technologies required to create possibilities for many as well as the few, Cardano aims to bring about positive global change. In this article, we will dive into what Cardano is and how it works, providing you with an in-depth understanding of this innovative blockchain platform.
Analogy
Think of Cardano as an operating system like Windows or iOS. The blockchain projects in Cardano are like the software or applications that you install on your operating system. Cardano is the platform and there are different apps or software that you can install into it, allowing you to play around or use those applications.
What is Cardano?
Cardano is a blockchain platform that is built through peer-review research to be secure enough to protect the data of billions, scalable enough to accommodate global systems, and robust enough to support foundational change. With a large number of projects revolving around the Cardano network, the majority of which are NFTs, Cardano is at the forefront of innovation in the crypto universe.
How Does Cardano Work?
Cardano uses Proof of Stake (PoS) and Oroboros as its primary means of powering its network. Oroboros is the first peer-reviewed, verifiably secure blockchain protocol and Cardano is the first blockchain to implement it. This enables the Cardano network to sustainably scale to global requirements without compromising security.
Stake Pool Delegation
ADA held on the Cardano network represents a stake in the network, with the size of the stake proportional to the amount of ADA held. There are two ways an ADA holder can earn rewards: by delegating their stake to a stake pool run by someone else or by running their own stake pool. The amount of stake delegated to a stake pool is the primary way the Oroboros protocol chooses who should add the next block to the blockchain and receive a monetary reward for doing so. The more stake is dedicated to a stake pool, the more likely it is to make the next block, and the rewards are shared between everyone who delegated their stake to the stake pool.
Conclusion
Cardano is a unique blockchain platform that is built through peer-review research and is secure, scalable, and robust enough to support foundational change. With its innovative Proof of Stake mechanism and its use of Oroboros, Cardano is at the forefront of the crypto universe and is poised to bring about positive global change. Whether you are a seasoned crypto enthusiast or just starting to learn about this innovative technology, Cardano is definitely worth keeping an eye on.
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