Cardano (ADA) is a public blockchain platform that is open-source and decentralized, utilizing a proof-of-stake (PoS) protocol named Ouroboros to facilitate consensus within its network. The Ouroboros consensus mechanism is designed to be energy-efficient, offering a more sustainable alternative to the energy-intensive proof-of-work (PoW) protocols.
Developed by Input Output Hong Kong (IOHK) with Charles Hoskinson, one of the co-founders of Ethereum, at the helm, Cardano aims to address and overcome the scalability, interoperability, and sustainability issues faced by earlier blockchain platforms like Ethereum.
The ADA token, named after Ada Lovelace, a 19th-century mathematician recognized as the first computer programmer, is the native cryptocurrency of the Cardano platform. ADA can be used to earn staking rewards, and in the future, for a variety of apps and services on Cardano.
Cardano is committed to peer-reviewed scientific research as the foundation for its updates and improvements, ensuring that all technological advancements are thoroughly vetted by academics and industry experts before implementation. This rigorous process aims to create a balanced and sustainable ecosystem that can support the development and execution of smart contracts, dApps, and custom tokens, without compromising security or usability.
The Cardano blockchain is structured in two main layers: the Cardano Settlement Layer (CSL), which handles transactions and settlements using ADA, and the Cardano Computation Layer (CCL), which is responsible for computational operations including the execution of smart contracts. This layered architecture enables Cardano to process transactions quickly and efficiently, while allowing for the flexible and scalable development of dApps and services.
