DeutschMajor events are known to cast their shadows ahead, as a well-known saying goes. The update under the name “Shelley” in the system is one such event that is eagerly awaited by many crypto pioneers and interested investors. However, there are also some skeptics, who can mainly be assigned to the area of Cardano purists. However, they are in the minority, as Cardano was very scientific and focused on constant technological progress from the start. After all, scientists have always been significantly involved in the development work.
At the beginning of June, the ADA price secured an increase of almost 60% at times, as can be seen from Coinmarketcap’s data. These developments are now continuing at the beginning of 2021.
Important information presented in a compact form:
- Cardano update “Shelley” is scheduled to be published at the end of June
- The Cardano blockchain is said to be more sustainable and energy-saving
- Proof-of-stake approach enables rapid decentralization
- CEO Hoskinson sees Cardano on its way to the top of the crypto world
- Market expectations fuel ADA price development
Earlier Start after Several Postponements?
The update has already achieved a few things: For the time being, it secures the digital currency a stable 4th place in the ranking of the most important crypto coins by market capitalization. These trends have basically been emerging for some time. The trigger for the pleasing developments from the point of view of those who invested in ADA early on and could now take home hefty profits through sales: none other than co-founder Charles Hoskinson. The latter is known for his sometimes very committed statements and forecasts on future developments in the crypto sector and primarily his “child” Cardano. Last summer, Hoskinson announced that the network update, which many insiders have been longing for for a long time, was imminent.
System Will Soon Switch to Proof-of-Stake
For those who have not comprehensively followed the news about Cardano: It is about an upgrade in the course of which the system or the so-called Shelley protocol will be switched to a Proof-of-Stake consensus (PoS). Shelley is a network component that allows participants to use their coins in order to collect rewards (keyword: staking). Hoskinson first announced the update in a podcast interview published on Youtube. The consequences of his statements regarding the Shelley update could hardly have been more far-reaching with regard to the price. The price rose rapidly in several steps, which, as mentioned, had an extreme impact on the market capitalization. The coin left even popular currencies such as Bitcoin and Ethereum far behind, at least in phases, in terms of percentage price gains.
Impressive Months Lie behind ADA
At times it was said that Shelley’s update should be made at the beginning of July, which temporarily drove the price to a level that the currency last recorded in mid-2019. And it got even better. ADA then traded at just over $0.085. Now, at the beginning of 2021, the price is far above this value. And ADA has also worked its way up to 4th place in the list of cryptocurrencies by market capitalization.
- Cardano
(ADA) - Price $0.809
- Market Cap
$29.24 B
Shelley is to Establish Itself Globally as an Operating System
The tension-filled atmosphere among Cardano fans is quite understandable. After all, this is the biggest change to a protocol in the system to date. The company behind Cardano is Input Output Hongkong (IOHK), whose managing director is Charles Hoskinson. Since 2017, the experts have been working on two protocols – Byron and Shelley. The decision for names from the world of literature is probably intended to underline the scientific aspirations of the developers. Now, the Haskell-based protocol Shelley is to initiate groundbreaking changes for the token and the entire network. After several postponements, they finally want to get serious. Hoskinson spoke of a difficult year that the protocol developers have behind them. In return, as so often, he promises great things. Hoskinson does not skimp on superlatives. Shelley will be the “operating system for the whole world”. Also, the protocol change for Charles Hoskinson is nothing less than the biggest update of the crypto world ever to this day.
To the official website
Cardano CEO: Crypto World Must React to Impending Bans
So far, no crypto system has dared to take such a big step. In the temporal environment of the announcements, Hoskinson also expressed his displeasure this week with regard to a looming crypto ban. In an Ask-me-Anything (AMA) stream via YouTube, he spoke out against the demands for a kind of “back door” that would give politicians access to anonymous user data within the Cardano blockchain. In connection with increasing pressure from politicians, there have recently been such considerations again. For Cardano inventor Hoskinson, such thought experiments are simply unimaginable. Just as little as crypto bans. Instead, he sees digital currencies themselves as a “political movement” that highlights the need for a systemic change in politics, trade, society and, in particular, the traditional monetary system.
The concept of “money” must be completely reinvented. And Hoskinson sees Cardano as an ideal approach here without question. Nevertheless, increasing acceptance could further increase the pressure from politicians on the crypto sector – the market must withstand this pressure. The Cardano boss primarily senses headwinds in the USA, where he locates supporters of a ban on crypto trading in the Senate and Congress. The pioneer sees similar dangers in other countries, to which the industry would have to react with increased lobbying, among other things.
Hoskinson Sees Cardano Technologically ahead of Ethereum Soon
But back to Cardano and the upcoming upgrade. Already a few weeks ago, Hoskinson had announced that he considers Cardano’s change to be more important and far-reaching than the technological highlights surrounding “ETH 2.0”. The further development of the ETH blockchain is equally touted by those responsible as a milestone for the progress of the entire market. When exactly the switch to Ethereum 2.0 will come is not entirely clear. The situation is different with Cardano’s protocol reforms. Charles Hoskinson recently said that the blockchain has/will reach a point where 1,000 transactions per second can be processed – hardly any competitor that could currently measure up to such values.
Analysts See ADA Movements Positively
The currency of the network has certainly not yet exhausted its potential, according to the unanimous opinion of many analysts. Formulations such as “Cardano will soon be 50 or 100 times more decentralized than other blockchains” can certainly be understood as loudly beating the advertising drum. However, the chances are good, thanks to the Shelley Proof-of-Stake model “Ouroboros”, that it could become a major success as an alternative to classic mining. Charles Hoskinson wants to see one thing confirmed above all. He promises users that the update will finally combine many well-known Bitcoin advantages with exemplary sustainability and energy efficiency.
More insights on altcoins
