ADA cryptocurrency and future development potential
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The ADA cryptocurrency is the currency of the Cardano blockchain project. ADA has had strong growth steps in the cryptocurrency market recently. In this article, we will learn about ADA cryptocurrency and answer the question: What is the development potential of ADA in the future?
What is ADA Cryptocurrency?
Similar to the Ethereum blockchain, whose currency is ETH, ADA is the currency of the Cardano project. So we will need to learn what Cardano is?
Cardano is a blockchain technology platform developed by Charles Hoskinson – one of the founders of Ethereum. Bitcoin is considered the first generation blockchain in the cryptocurrency market, Ethereum is the 2nd generation blockchain, and Cardano officially becomes the 3rd generation blockchain. The Cardano project has overcome the disadvantages of Ethereum and Bitcoin.
To distinguish between the Cardano blockchain and the ADA cryptocurrency, you can understand the following:
Blockchain Cardano is a technology platform that allows running Dapps or decentralized applications.
Meanwhile, the ADA cryptocurrency is the currency for transactions and computational costs for the Cardano blockchain.
We can understand that the ADA coin is a product, a material in the Cardano ecosystem.
Future Development Potential of Cardano and ADA
The development process of the ADA cryptocurrency
As soon as it launched in 2017 during the first ICO, the Cardano project quickly raised 63 million USD. In just 1 week after its launch, the ADA cryptocurrency has skyrocketed in value. On October 1, 2012, the Cardano blockchain project had over $600 million market capitalization. ADA quickly ranks among the top cryptocurrencies in the market.
After appearing on many major global cryptocurrency exchanges, by early 2018, ADA had reached 1,162 with a market capitalization of over $33 billion.
However, after that peak, ADA continuously corrected and fell to a bottom of 0.02 at the end of 2019 and did not change much. This makes many investors doubt the upside potential of the ADA coin.
But in 2020, Cardano launches new development roadmaps. That contributes to investors’ confidence in the project and pushes the ADA coin to appreciate. In particular, after the ADA virtual currency was officially listed on the Coinbase exchange, it confirmed the position of this coin once again.
At the time of writing, ADA is at 2.17, up 48.28% in 1 week, and has a market capitalization of $69,6 billion.
The development potential of the Cardano blockchain
Cardano positions itself in the project’s ecosystem as a decentralized financial system. This helps Cardano hold a position in the financial services sector. The contactless payment transaction market is forecast to grow by US$801 billion by 2025. Digital remittance volume is also expected to exceed US$8.5 billion by 2025.
The Cardano project is considered to have many outstanding features in terms of flexibility, wallet, low fees, high interoperability… Cardano is also expected to release SL mainnet and ADA tokens to go far.
However, at present, the Cardano network is still incomplete, dApps are still underdeveloped. Compared to Ethereum, NEO, EOS… Cardano still takes a long time to go into development.
In short, Cardano is developed by trusted experts. If going on the right path, the ADA coin will have further leaps and bounds. But that still takes time to prove. Therefore, whether or not to invest in ADA cryptocurrency depends on each investor’s expectations, trust, and in-depth understanding.
Where to trade ADA cryptocurrency?
* See more: The complete guide Binance from a to z
Currently, buying ADA is quite simple and easy through cryptocurrency exchanges like Binance. Binance is one of the largest and most reputable cryptocurrency exchanges globally today. Buying ADA cryptocurrency through Binance and then selling or converting to any other cryptocurrency is very fast and convenient, with instant execution speed and low transaction costs. In addition, if you intend to hold ADA for the long term, you can also transfer ADA to your secret cold wallets for safety.
Or, if you want to trade ADA cryptocurrency CFDs, you can trade through the eToro exchange. This is a famous stock exchange regulated by many reputable agencies in the world. Although ADA trading on eToro cannot transfer ADA outside the exchange like on Binance, eToro is highly appreciated for its credibility, security, and friendliness in the interface.
Conclusion
Regardless of which exchange you choose to trade on, cryptocurrency investment always requires in-depth market analysis, identification of investment opportunities, and a clear investment strategy. If you are not confident about that knowledge, you need to learn more before entering the market. Taking the risk of investing in cryptocurrency without much experience can cause big losses for you.
Investiki.com