Can Cardano Become Ethereum’s Competitor?

If you look at the market cap, Ethereum keeps a strong second place in the crypto rankings. The platform offers a decentralized ecosystem that supports apps and NFTs while utilizing smart contracts. 

Many projects have tried to challenge Ethereum by building similar platforms. Cardano managed to stand out from the competition and position itself as a reputable network. It supports smart contracts and has similar features, such as DeFi apps. But although there are similarities, Ethereum and Cardano blockchains are different.

Cardano uses Ouroboros consensus, which is a type of Proof-of-Stake mechanism. Instead of miners, PoS features validators. The idea is to require less effort to create new blocks than during the mining process. Ouroboros’ specific characteristics only require a tiny portion of those staking ADA to be online, which accelerates transactions. This also lowers transaction fees, which can attract investors.

Ethereum utilized a Proof-of-Work consensus for a long time but recently switched to Proof-of-Stake. Some of its sustainability and scalability issues have been reduced, but it’s still not ideal. It’s why many investors keep looking for a reliable ETH to BTC exchange to swap these tokens for Bitcoin.

So, is it better to invest in Cardano or Ethereum? Here are the top factors to consider before deciding on the next trading action!

Cardano Features to Consider

Cardano’s development started in 2015, but it reached the market two years later. The start was encouraging since it was the biggest PoS currency at the time. Cardano’s main features include sustainability, flexibility, and scalability, and its smart contract support allows building dApps and decentralized protocols.

Scholarly Academic Research

Although most crypto projects have whitepapers and other presentation documents, Cardano takes things to the next level. Scholarly academic research affects the network’s development. The creators use methodologies based on evidence and peer-reviewed ideas. Thanks to this approach, it seems that the future of the platform and its token is in good hands.

Ouroboros Consensus Protocol

Cardano is the pioneer of the Proof-of-Stake consensus mechanism via its Ouroboros protocol. The settlement delay concept supports the transmission of blocks between network members. Ouroboros can run permissioned and permissionless blockchains. Creators believe the system is energy-efficient, and once released, they advertised it as the “first secure and provable PoS mechanism.”

Current Price

Although both coins are in the top ten in the crypto rankings, the price difference per coin is significant. A single ETH costs around $1,600, while ADA is about $0.4. It makes Cardano more affordable and accessible to beginner traders and those who don’t want to invest large sums.

Ethereum Features to Consider

Ethereum is the most valuable altcoin and a currency that has maintained that position for years. Here are the top things to know about this platform!

Ethereum 2.0

Ethereum 2.0 is the name of a major upgrade on the network. Some estimations are that the progress was over 50% after merging the mainnet with the Beacon Chain in 2022. ETH creators, however, refuse to use Eth2 terminology, with the explanation the upgrades are gradual and aim to improve the network step by step.

Longevity

Ethereum’s initial release was in 2015, and it didn’t take long for the currency to earn an excellent reputation in the crypto market. Today, ETH is the third-biggest cryptocurrency worldwide. And while that’s impressive, you can’t neglect that Cardano and other competitors are making huge progress with each new day.

Current Price

ETH’s current value is around $1,600, with its all-time high going up to $4,891.70. The token has been a huge market participant. If the crypto market continues to grow in 2023, there’s no doubt ETH can expect quick growth. And in the long run, price predictors believe Ethereum’s value could increase up to 20 times compared to today’s price.

Cardano vs Ethereum Summary

Ethereum is a pioneer among smart contract platforms. The available development options and dApp selection are impressive. But you can’t neglect innovative crypto projects that have huge potential. They can take the technology to the next level and create a more flexible solution that incorporates smart contracts. Cardano fits that description.

Cardano has an option for the developers to add arbitrary info to the transaction. Thanks to this, there aren’t limits to what they can make, ranging from NFTs to other smart contract features. It’s why many investors head to https://godex.io/exchange/eth-to-ada to convert Ethereum to Cardano. But before you go ahead with the trade, make sure it’s the right option for you!