Cardano is the latest crypto currency to enjoy several sharp rallies over the past few days. On December 31, Cardano (ADA) touched an all-time high of $0.76, according to CoinMarketCap. ADA has been hailed as the “Ethereum of Japan.”
Looking at the rise of Cardano, it is now being believed to be the real contender. Can it defy the downtrend in the crypto market and emulate Ripple?
Cardano is a blockchain environment, created by the blockchain developer Input Output Hong Kong (IOHK). It is available to the public to develop a blockchain.
ADA has broken into the top 5 of the crypto market in a short span of time. Since it started trading in October, the alt coin has exploded on the scene with substantial gains.
The Cardano CEO Charles Hoskinson wants Cardano to be used by billions of people and interface with legacy financial systems. He believes that the digital currency is primed for mass adoption for it has been capitalizing on private transactions and also complying with the needs of regulators.
Read: Is Bitcoin a bubble?
Around $700 million worth of ADA coins were transacted on December 31 alone, which is an equivalent to 53,383 Bitcoins. Currently, there are over 25.9 billion ADA coins in circulation, with total supplies exceeding 31.1 billion.
At the time of writing, Cardano’s market cap has reached $18 billion, placing it at fifth among the active crypto assets, only behind Bitcoin, Ripple, Ethereum and Bitcoin Cash.
In December, ADA has returned with gains of over 500 percent and more than 2,200% since the start of October.
ADA’s latest rally has come amid the downward trend in the cryptocurrency market. At the moment, the combined value of the crypto market is $620 billion.
The crypto had a smaller profile until now, just like Ripple. The crypto currency seeks to provide a more advanced smart contract basis scientific research and development. It is one of the few cryptos that use a proof of stake algorithm validated by the academic community. Cardano’s proof of stake algorithm – Ouroboros – is believed a notch above ether.
As of now, Indian crypto currency exchanges do not offer ADA for direct purchase. To buy Cardano, one would have to purchase Bitcoin/Ethereum and then exchange it for former.
Cardano is certainly going strong and is backed by technological capabilities to tackle the next generation of blockchain issues. Given these factors, it can be the next big thing in the crypto world.