Currently ranked as the 6th largest cryptocurrency by market capitalization, Cardano is no doubt one of the most important players in the crypto space.
Less than a year after its launch in September of 2017, Cardano is still relatively young. Nevertheless, this third generation altcoin has managed to hold its own among the leading cryptocurrencies in the world. Its CEO and co-founder Charles Hoskinson believes it may well become the first trillion-dollar cryptocurrency. In a session with blockchain startup incubator, EMURGO, he made a case for the global adoption of Cardano.
“I would love to see Cardano as the first trillion dollar cryptocurrency and the reason being is that that would effectively mean that we have built a self-sustaining economy.”
With latest data from coinmarketcap showing the coin to have a circulating supply of just around 4.5bn, Cardano may be appear to be a long way from Mr. Hoskinson’s ambition. But experts say the potentials are there. It is especially worthy of note to remember that the altcoin has attained its impressive market position, despite that it is still a work-in-progress.
It is also one of only two cryptocurrencies (IOTA being the other one) on the top 10 ranking that do not have a fully developed blockchain.
Unlike most digital currencies, cardano coins are mined using a proof-of-stake algorithm rather than the more common proof-of-work system. This method is more energy efficient and allows for a resource and cost saving blockchain creation.
It operates on two blockchain layers; the Cardano Settlement Layer (CSL). An accounting layer which supports ledger transactions and a second layer called the Cardano Computation Layer (CCL), both of which allow for easier updates via soft forks. And in June it went one step further towards completing the process of forming a full-fledged ecosystem, by launching a testnet of smart contracts.
According to Hoskinson, most of Cardano’s creators/adopters are not driven by money, maintaining that they are motivated by a vision of an egalitarian society and a financial system that works for everyone.
“I would love to see ADA achieve that level of prominence or currencies connected to ADA achieve that level of prominence because then it basically means that we built a private system that has built-in consistency and fair rules for everybody in the world, not just for the people who happen to be very privileged,” he said.