Cardano (ADA) will bring his second hard fork, Mary, to life in February 2021. Cardano published an article that shows after the hardfork, the Cardano network would be interesting and useful for DeFi. The article focused on basic issues such as low transaction fees, and security.
Cardano will become eligible for Decentralized Application (dApp) use after the upcoming hard fork. The Cardano community, which has played a major role in the growth of Project with its interest in the DeFi sector, expects positive developments after the hardfork.
Developer Elliot Hill said:
“Our community will continue to play a key role in Cardano’s development and be the biggest force behind the network.”
Transactions Fees
Gas fees, which are used to calculate transaction fees on the Ethereum network are necessary for scalability, can sometimes be very costly even in the smallest transactions. This is even more costly for DeFi applications, and considered an obstacle to the inclusion of new users in the ecosystem.
Elliot Hill stated that the local tokens and products found in the Cardano network are not subject to the transaction fee, stating that Cardano was cost-effective. The biggest reason for this is that Cardano allows you to use local tokens and products without requiring a smart contract.
Security goes to the next level
While Ethereum-based smart contracts have many advantages, they are vulnerable to security bugs. A smallest mistake made in drafting the contract could cost millions of dollars.
Tokens created with Cardano technology do not need to write code separately. According to Elliot Hill, this allows for fewer human errors and makes Cardano a competitor to Ethereum in terms of security. He believes that Cardano will be more attractive to institutional investors.
“If corporate companies start entering the DeFi sector, they will prefer tokens that have eliminated their security problems, rather than smart contracts.”
Cardano, which continues to innovate and develop, is at sixth position in the world top crypto coins. According to CoinGecko, with a market value of $ 10 billion, an all-time high of $ 1.18, and currently trading at 0.33 USD is expected to explode in 2021.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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