What is Cardano (ADA) crypto and why is it gaining attention?

May 04, 2022 10:25 AM PDT | By Rupam Roy
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Highlights: 
  • Cardano is a proof-of-stake (PoS) blockchain platform.
  • The ADA token is the native token of the Cardano ecosystem.
  • The ADA coin is available for trading on several major exchanges like Binance, OKX, etc.

The Cardano (ADA) is one of the most popular cryptos, holding 9th rank on CoinMarketCap.com. Its price was up over 4%, while its volume for the last 24 hours jumped more than 50%. 

Why is Cardano (ADA) crypto garnering traction? 

Cardano is a proof-of-stake (PoS) blockchain platform that focuses on allowing "changemakers, innovators, and visionaries" in bringing a positive global change.  

With an objective to become the internet of blockchains, Cardano is an open-source project that intends to redistribute powers to individuals from the unaccountable structures while contributing to making a society that would be more secure and transparent. 

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The ADA token is the native utility token of the Cardano ecosystem, which is mainly designed for ensuring the owners’ or holders' participation in the network's operation. It also enables the holders or the users to have the right to vote on any proposal for changes to the software.  

Cardano, founded by Charles Hoskinson in 2017, was named after the Italian polymath Gerolamo Cardano. On the other hand, the ADA token was named after the mathematician Ada Lovelace. 

The ADA coin is available for trading on several major exchanges like Binance, OKX, Bybit, etc. 

It is one of the leading blockchains claiming to be successfully utilizing a PoS consensus mechanism, which is also less energy-intensive as compared to the proof-of-work mechanism of Bitcoin. 

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The Cardano blockchain focuses on privacy features to help individuals rely upon the ecosystem and spend seamlessly without any concerns. Meanwhile, many users of the platform have prioritized the privacy of Cardano in the blockchain's official forum.  

Having said that, the founding body of Cardano, EMURGO, is exploring opportunities to enhance the network's privacy through a new partnership. 

On May 3, the blockchain firm announced a strategic partnership with a layer-1 public blockchain protocol, Partisia. It would help in Cardano's decentralized privacy features on-chain.  

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Through the partnership, the developers and users of the decentralized applications on Cardano would be able to leverage Partisia blockchain's privacy-preserving zero-knowledge (ZK) and multi-party computation. 

In addition, the Partisia team would develop customized smart contracts for the developers of Cardano. The first full version of Partisia's privacy-focused smart contract programming language is expected to be launched in mid-2022. 

These developments may have triggered the recent gains in the ADA coin while gaining attention from various investors. 

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Cardano (ADA) crypto price and performance                                                           Data Source: CoinMarketCap.com 

Bottom line

The ADA coin was priced at US$0.8236 at 11:03 am ET on May 4, up 4.13%, while its volume for the trailing 24 hours surged 50.77% to US$1.01 billion. It has a market cap of US$27.78 billion, and its fully-diluted market cap is more than US$37.05 billion. 

The token has a max supply of 45 billion, a total supply of 34.27 billion, and its current circulating supply is 33.74 billion. The token saw the highest price of US$1.22 and the lowest price of US$0.7424 in the last 30 days. 

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