Cardano is making headlines these days, due to some pretty bullish and optimistic news. It seems that the project can spark a massive new wave of crypto innovation that will rival the launch of Ethereum.
The online publication the Daily Hodl notes that the pseudonymous analyst Guy said that with many decentralized applications (DApps) set to launch on its mainnet, Cardano is providing massive opportunities.
“We are now on the brink of another explosion in crypto innovation, the likes of which we haven’t seen since Ethereum launched back in 2015, and early adopters will stand to reap the greatest rewards.”
Cardano’s unique staking system is drawing investors
He also made sure to point out that one reason users and developers are drawn to Cardano is because of its unique staking system.
This reportedly makes it one of the most decentralized cryptocurrencies on the market.
“The staking rewards decline if there is too much Cardano in a single pool. This encourages decentralization…ADA’s staking rewards are currently around 4.5% per year, and the fact that there is no staking lock or unlock time makes it a no-brainer to do so, hence, why nearly 70% of ADA’s supply is currently being staked. This makes Cardano the highest valued blockchain by active stake.”
On the other hand, it’s also important to note the fact that ADA has the third-largest crypto user base could be a double-edged sword for developers.
“Cardano has over 1.6 million users and its community is arguably the most active in cryptocurrency. This is incredible, but it’s also a developer’s worst nightmare because they know there’s no way in hell their DApps can handle that kind of traffic…”
He also pointed out the fact that almost every single Cardano project is dragging out its launch to stress-test its infrastructure because “if they deploy their DApps now, they will get wrecked.”
Stay tuned for more relevant news.