Cardano is an open-source, decentralized public blockchain platform. ADA is a dedicated cryptocurrency for this platform. It features a proof of stake consensus algorithm called Ouroboros. It is characterized by a layered blockchain software stack that is superior in flexibility and expandability.
Users can receive rewards from the blockchain by staking through a validator. Rewards, excluding the validator fee, are distributed to each user directly by the blockchain. Each ADA pool is defined with an optimal staking volume, which fluctuates depending on ADA’s overall staking volume, number of validators, etc. Since the reward ratio fluctuates after peaking at optimal volume, we strive to provide superior reward ratio by creating multiple pools.
We created a system of directly connecting wallets to validators, which allows rewards to be automatically distributed according to the tokens in the wallets. The entire quantity held in the wallet will continue to be staked. Hence, there’s no option to stake only some of the tokens. Even when connected to a validator, users can freely send and receive tokens inside their wallets whenever they want. There are no lock period, etc. When initially staking, users will deposit 2 ADA and pay relevant gas fees (this is how a blockchain usually works). Therefore with our wallet, staking isn’t possible if the balance is 5 ADA or less.
Rewards are distributed during every epoch. One epoch is equivalent to roughly 5 days. There’s no need to take any action such as clicking on a “receive reward” button since rewards are automatically distributed by the blockchain. Rewards are distributed to the wallets connected to validators. When you initially stake ADA, it will take 20 days for it to be approved, and you must wait another 5 days (1 epoch) until the first cycle completes before being able to receive a reward. In other words, the first reward is received roughly 25 days after clicking the [Stake] button, and subsequent rewards will become generated every 5 days thereafter.
You can freely send and receive tokens even while staking. Essentially, there’s no need to unstake your tokens, and there are no lock periods, etc.
Cardano is a cryptocurrency created by Charles Hoskinson, who is believed to have been involved in the development of Ethereum.
Cardano is an open software blockchain project operated and managed by three independent organizations: Cardano Foundation, IOHK (Input-Output Hong Kong), and Emurgo.
"Cardano” is also the name of the platform on which the project's decentralized applications (DApps) and smart contracts are built. The cryptocurrency used as the project's dedicated currency is ADA.
CARDANO aims to solve the problems faced by Bitcoin and Ethereum, and has four features:
- Academic paper-based development
In the design process, a research paper is written and feedback is received from scholars to ensure that the final design is academically correct and secure.
- Uniquely developed smart contract "Plutus"
Plutus is designed to be more secure and functional than Ethereum, and to include information such as compliance and personal information.
- Unique consensus algorithm called "Ouroboros"
Ouroboros is a PoS consensus algorithm that uses the votes of individuals who own Cardano to select miners, etc.
- Special wallet called "Daedalous"
In order to use the cryptocurrency Cardano, you need to download a wallet called "Daedalous.” Daedalous is a highly secure wallet that allows direct transfer of coins earned from various online games. The benefits are high security and fast money transfer.
What is Cardano ADA?