About Cardano

Cardano is a third-generation decentralized Proof-of-Stake (PoS) blockchain platform. Like Ethereum, it relies on peer-reviewed scientific research as its elementary unit for updates. OHK, Cardano Foundation, and EMURGO collectively contribute to Cardano’s development. IOHK and Cardano Foundation are non-profit foundations; EMURGO is a for-profit entity.

The IOHK, accountable for building Cardano, operates with a team of academics worldwide to present analysis and evaluate platform updates before implementation to ensure they are scalable. Cardano runs on the crypto called “ADA.” It has issued products for identity administration and stock traceability.

Additionally, Cardano uses Ouroboro as its Proof-of-Stake algorithm—to create blocks and validate transactions on its blockchain.

Cardano’s History 

Charles Hoskinson, the co-founder of Ethereum, began developing Cardano in 2015. It hit the floors in 2017. ADA and ETH are used for similar purposes, like smart contracts, and aim to create a connected and decentralized system. 

Cardano is a modernized version of Ethereum since its third generation while Ethereum’s second generation. Moreover, its objective includes rendering banking services globally.

Cardano’s principal uses are identity management and traceability. Identity management helps to streamline methods involving data collection from varied sources. Traceability is used to trail and examine a product’s manufacturing means from origin to finished goods and eliminate the counterfeit goods market.

“ADA,” Cardano’s digital currency, is named after Ada Lovelace, a 19th-century countess and English mathematician recognized as the first computer programmer.

Key Features of Cardano

• Proof of Stake (PoS):

Cardano’s PoS involves collaboration between validators and delegators to ensure secure block production. ADA holders can delegate without the need for advanced hardware, guaranteeing the safety of their funds. The network produces blocks in slots, forming epochs that occur approximately every five days.

• Ouroboros:

Ouroboros Praos, implemented during the Shelley era, enhances network security by ensuring fair validator selection. The protocol generates fresh randomness for each epoch, symbolizing the continuous and perpetual nature of the Cardano network.

• High Assurance:

Cardano’s foundational research undergoes peer review, creating a highly assured codebase suitable for mission-critical industries. Haskell, a secure and purely functional programming language, is utilized to build Cardano, establishing a robust foundation for high-value financial applications. Plutus, Cardano’s smart contract language, enhances security, while Marlowe, a Domain Specific Language (DSL), simplifies contract development for individuals without programming expertise.

• Hard Fork Combinator:

Cardano’s innovative hard-fork combinator allows seamless upgrades without chain restarts, setting a gold standard for blockchain upgradability. The transition from Byron to Shelley showcased this unique functionality, combining old and new ledger rules into a single unbroken chain.

• Treasury:

Cardano’s decentralized treasury, detailed in the paper “A Treasury System for Cryptocurrencies,” funds projects through a continuous influx from ADA minting, staking rewards, and donations. The treasury’s purchasing power grows alongside the value of ADA, ensuring ongoing financial support for the development of the Cardano ecosystem.

How Cardano Works

The Cardano network confirms transactions using a consensus mechanism called Proof-of-Stake:

1. People who help validate transactions are called validators.
2. Validators need to freeze some of their ADA coins, called the “Stake.”
3. Once a validator verifies a transaction, they gain additional ADA cryptocurrency as a reward.
4. The higher the stake, the higher the chance a validator has of winning the reward!
5. The amount of coins they get is based on their amount of “stake.”

This efficient and environmentally friendly system needs less electricity, meaning lower transaction fees.

The Cardano team says that no other proof-of-stake protocols around offer a random selection of a validator. Their standard Proof-of-Stake model ensures everybody gets a fair chance of earning the reward.

This is called “The Honest Majority,” which means that people having a significant stake in the blockchain (for example, having lots of ADA coins) have a reason to ensure that the network remains safe, constant, and reliable.

Cardano Tokenomics

Token Supply: The maximum supply of ADA tokens is capped at 45 billion, with the current circulating supply at 35.05 billion.

Token Distribution: ADA token distribution underwent various stages, encompassing presales, public sales, and subsequent allocations. The following provides a general breakdown:

• Presale and Initial Coin Offering (ICO): Funding for Cardano’s development was secured through a series of funding rounds and initial coin offerings, with the majority of ADA tokens initially distributed to investors during these rounds.
• Treasury and Development: A part of the initial supply was reserved for development, research, and strategic initiatives. These funds are held in a treasury, supporting continuous development, partnerships, and overall ecosystem growth.
• Staking Rewards: Participants in ADA staking receive rewards for actively securing the network, distributed in additional ADA tokens. These rewards act as incentives for users to validate transactions on the blockchain.
• Ecosystem Growth: ADA tokens play a vital role in fostering the expansion of the Cardano ecosystem. This involves funding projects through the Project Catalyst initiative, where the community can propose and vote on initiatives contributing to the ecosystem’s development.

ADA Trading Simplified

ADA is a part of the WazirX Rapid Listing Initiative. Here’s what you can do with ADA on WazirX.

• Deposits — You can’t deposit ADA from another wallet to your WazirX wallet.
• Trading — You can easily buy, sell, and trade ADA in our USDT or BTC market.
• Withdrawals — You can’t withdraw ADA from your WazirX wallet. Instead, you can sell it in our USDT or BTC market.

Buying Cardano (ADA) in India in 2024

Below are a few simple steps you can follow and buy the ADA token in India with WazirX, India’s most trusted and widely used crypto exchange.

The best way to buy ADA tokens is by depositing INR in your WazirX wallet. Alternatively, you can also buy ADA using P2P trade; to get answers to all your queries related to the P2P trade, click here!

Step 1 – Sign-Up on the WazirX platform

To begin buying and selling ADA, you must sign up for an account on the WazirX platform. If you already have an account, you can log in directly.

For your reference, here’s how you can open an account on WazirX.

Step 2 – Set up your account security by verifying your email address.

This step is about verifying your email address. After you sign up on the WazirX platform, you’ll get a verification link on your registered email. By clicking on that link, you’ll get two options to ensure the security of your account – the authenticator app and mobile SMS.

Note: The authenticator app is a more secure way to stay safe when compared to mobile SMS because there’s a risk of delayed reception or SIM card hacking.

Step 3 – Complete the KYC process.

After choosing your country, you can proceed with completing the KYC process. Click here for a detailed overview.

Note: You must complete your KYC to be able to trade P2P or withdraw funds on the WazirX app.

Step 4 – Add funds to your WazirX wallet.

To add funds, simply go to your account on the WazirX app or web. Click on “Funds” and then on “Deposit INR.”

You can deposit INR using any mode (NEFT/ RTGS/ IMPS).

You can also buy ADA through P2P to the WazirX wallet. The ADA will act as funds to help you buy your favorite cryptos.

Step 5 – Finally, buy ADA on WazirX.

You can now easily purchase ADA tokens using INR Deposits. In the case of P2P trade, check ADA to INR here and USDT from here.

After logging in to your WazirX account, you can choose INR from the “Exchange” tab. You can also check all the price charts, order book data, and an order input form on the right side of the screen.

Click “Buy” after entering the amount and checking the total INR amount to be paid.

Your order will be placed according to the price you have input. And, in the case of P2P trade, a seller willing to sell at a price will be notified, and then you can exchange the tokens using P2P.

The order might take a few minutes to complete, but as soon as it is executed, you will receive the ADA Tokens you purchased in your WazirX wallet.

Happy Trading!

Further Reading:

What is Dogecoin? How to buy Dogecoin in India?

How to Buy Bitcoin in India in 2021

5 Things to Keep in Mind While Buying or Selling Ethereum

How to Buy Cryptocurrencies in India?

How to trade in cryptocurrency in INR?

How to Buy Ripple (XRP)

Can you buy shares in Bitcoin?

How to sell bitcoin in India?

Frequently Asked Questions

Disclaimer: Cryptocurrency is not a legal tender and is currently unregulated. Kindly ensure that you undertake sufficient risk assessment when trading cryptocurrencies as they are often subject to high price volatility. The information provided in this section doesn't represent any investment advice or WazirX's official position. WazirX reserves the right in its sole discretion to amend or change this blog post at any time and for any reasons without prior notice.