Blockchain or distributed ledger technology is transformational, and its usage is moving beyond cryptocurrencies. Investors’ interest has surged by leaps and bounds in the cryptocurrency market due to windfall gains by the early-stage investors in the most popular Bitcoin (BTC) and Ethereum (ETH) coins. Both these coins have retracted substantially after touching an all-time high. Still, BTC price is beyond the reach of an average investor, whereas ETH price is relatively low. Some cryptocurrencies offer great potential for growth, and there are hardly any entry barriers. What are these cryptocurrencies that would be worth investing in at this stage?
Both Cardano (ADA) and Polkadot (DOT) are based on proof-of-stake (POS) platforms. Although the objective of both for decentralized applications is identical, they follow different architecture. Both cryptocurrencies rank among the top 10 coins in terms of market capitalization. Both of the coins are new in the market and rapidly, reflecting future potential. The obvious question comes to mind: which one of these would create more value in the long term?
Let’s attempt to ascertain the future potential of either of the aforementioned coins: –
Its blockchain offers smart contracts and applications that are similar to ETH technology. Cardano could very well be termed unique due to its double-layered architecture, offering flexibility for its smart contracts. The proof-of-stake platform is innovative in that it provides a facility of transaction validations and the validators have to stake ADA coins for the purpose. ADA coin blockchain is completely decentralized on block production, which means community stake pool operators become fully responsible for block production. The fully decentralized network makes altcoin less susceptible to attacks and mitigates other associated risks. Investors could buy Cardano on ZebPay, one of the best cryptocurrency exchanges in India.
On the other hand, DOT connects individual blockchains efficiently into a unified network. It is also known as “The Internet of Blockchain”. This altcoin uses a platform where trusted validators can carry out mining activity. Its parallel processing platform is unique, which could address common core issues of blockchains, making it comparatively more efficient than peers. The world’s largest stable coin, Tether (USDT), launched its coin on the DOT network. This inclusion would facilitate a seamless transition between networks for users and projects. Polkadot crypto price is currently hovering around US$ 25 or INR 1,900, which makes it affordable, though cryptocurrency could be bought in fractions.
ADA coin could now be traded on the world’s largest cryptocurrency exchange, Coinbase. Beginners could buy ADA on Coinbase Pro. This availability enhances the reach of coins to a much bigger audience in the form of investors and traders alike. ADA blockchain could also be used for creating NFT, which could act as a catalyst to its price. Tether (USDT) using DOT network adds value for both the coins by converging stability with scalability and affordability. Fans of ADA coin are speculating that it will replace ETH in the long-term due to its high-speed technology and transaction-free setup. Similarly, DOT coin speculators feel it would become the next ETH, which may not turn out to be a good comparison.
: Cardano is a multi-year, well-researched, scientifically reviewed platform, whereas Polkadot is not, except the consensus model that replicates Cardano. Cardano’s smart contracts could be audited automatically, ensuring the precision of the code. Whereas Polkadot’s claim to be popular due to its Para-chains, connecting multiple blockchains. Investors need to realize that cryptocurrency markets behave in irrational ways depending upon marketing, hype, manipulation, intangible progress and adoption factors behind price movement. Polkadot doesn’t appear to be in any way close to being a threat to Cardano’s vision, technology & adoption and is likely not to affect its success. One of the oldest and best cryptocurrency exchanges, ZebPay, offers the facility of buying and selling ADA coins as well as DOT coins. Prospective as well as existing investors could start trading in both these coins on Zebpay.
References: –
- https://askanydifference.com/difference-between-cardano-and-polkadot/
- https://www.nasdaq.com/articles/cardano-ada-vs-polkadot-dot%3A-which-cryptocurrency-is-a-better-buy-2021-04-11
- https://www.reddit.com/r/CryptoCurrency/comments/ox5wk1/polkadot_or_cardanowhich_one_do_you_think_has_a/
- https://www.reddit.com/r/cardano/comments/ko66bm/cardano_vs_polkadot_breakdown_detailed_overview/
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