The Kraken exchange has published a report that lays out the immense potential of the Cardano blockchain, which makes it superior to competing blockchains, including Ethereum.
Cardano and Ethereum are some of the oldest blockchain networks, but the former only recently launched smart contracts. Due to the high gas fees and scalability issues with Ethereum, the launch of smart contracts made Cardano more likely to be an “Ethereum killer.”
Kraken says Cardano outshines Ethereum
The report noted that the design of Cardano’s blockchain promoted the use of its native coin, ADA. Additionally, the blockchain allows developers to build Dapps securely on the blockchain. On the other hand, Kraken noted that Ethereum was built like an operating system that could support diverse assets and programs.
Kraken also noted that while Cardano was launched two years after Ethereum, it has gained some dominance in the market and depleted some of Ethereum’s market share. The Cardano blockchain prides itself on being backed by research, and according to Kraken, this was also one of its strengths.
“Cardano is released in phases and has seen 5 major platform upgrades since 2017, including Byron, which enabled the transfer for ADA cryptocurrency for the first time and Voltaire, which introduced a new model for how users could fund development for software changes” the report stated.
Kraken noted that Cardano was different from other blockchain networks for “emphasizing a research-driven approach.” The founder of Cardano, Charles Hoskinson, has previously stated that Cardano’s developments were guided by research, which could make it emerge a leader in the future.
“While Cardano may not promise new ground-breaking features, users and developers may find its cryptocurrency offers appealing optimizations based on scientific research and formal verification, a process by which its code is verified mathematically,” the report added.
Cardano is outperforming Ethereum
The Cardano blockchain has recorded increased activity from users. Yesterday, Cardano had surpassed Ethereum in transaction volumes. The Cardano blockchain had processed around $4.02 billion, while Ethereum had processed $2.41 billion.
The fee paid by Cardano users is also significantly lower than that paid by Ethereum users. Users on the Cardano blockchain paid around $63,254 in transaction fees, significantly lower than the $25.44 million paid on Ethereum.
However, Cardano needs to sustain the growing activity on its blockchain. Cardano’s development team is looking towards boosting the capability of the blockchain through the Plutus scalability.
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