July 14, 2020

Market News

Cardano Shelley – a giant step for the crypto sector?

With the publication of the Shelley Roadmap , Cardano has become the focus of the crypto community. In particular, the official confirmation by Charles Hoskinson, the founder of Cardano, set the prices in motion. The update is scheduled to be launched in less than two weeks and will transform Cardano into a decentralized ecosystem.

Cardano Shelley Update Coming in Under Two Weeks?

Charles Hoskinson is not only the founder of Cardano, but also a well-respected expert in the crypto sector. In particular, with the news that Cardano Shelley could appear in less than two weeks, the founder set the whole scene in turmoil.

Cardano Shelley Roadmap
Cardano Roadmap: the next big step is Shelley

Cardano Shelely is a complete upgrade to the Cardano ecosystem. This could now change from a federal network to a complete decentralized network. The developers of Input Output Hong Kong (IOHK) – the company responsible for developing the Cardano blockchain – have used the past few years to develop the code base for Shelley.

In any case, the promises Hoskinson made make a big impression. After all, the visionary expects Cardano to become the best cryptocurrency in the world. Cardano should have technological advantages, especially over other cryptocurrencies.

“This year, the entire industry will see Cardano rise to the best cryptocurrency in the world. There really won't be anything as good as what we're delivering this year. Because at the end of the day we have everything. ”- Charles Hoskinson

Rating agency Weiss sees Shelley as a giant step for the industry

Immediately after the upcoming upgrade was announced, the rating agency Weiss also announced that Shelley was a huge step for the entire crypto economy. At the same time, however, the company indicated that the approaching step was only a small step for IOHK. However, Weiss is known for the more controversial post in the crypto sector.

In a subsequent video, Weiss indicated that Cardano would depend on other cryptocurrencies such as Ethereum or Bitcoin at a technological level. In addition, other altcoins are falling behind in technology. If the announcements are true, we could see a change in cryptocurrencies in the near future.

There was also further news about the Incentivized Test Network (ITN), which has been in existence since 2019. This should remain in place until the Shelley Mainnet has been fully set up and only then cease to operate.

IOHK publishes statement on Shelely Mainnet Deployment

Furthermore, on June 29, IOHK explained the concept of the Hardfork Combinator. This is a special feature, because blockchains previously had to go through a fork as part of their versioning. This can be avoided with the Hardfork Combinator. In this way, users should experience a seamless transition between the semi-decentralized Byron phase and the introduction of Shelley.

The new instrument is now used in the Testnet environment. In a video, the Cardano Foundation provides a detailed, technical explanation of how Cardano Shelley works. In the course of this, Philipp Kant, Director for Formal Methods at IOHK, presented the code base of the new Mainnet and even showed the audience how it was developed.

For example, the combiner is supposed to ensure a smooth transition between Byron and Shelley for every node in the Cardano network. If the developers had not developed the Combinator, there could possibly be differences of opinion in the network.

In the worst case, there is a risk that different versions of the protocol may arise. As a result, serious conflicts between the different parts of the blockchain would be possible.

Nodes can process several protocols at the same time

In the end, the Combinator now ensures that every node in the network can interact with different protocols. Tim Harrison, Head of Marketing and Communication at IOHK, also makes it clear that the combinator is the crucial building block for switching between the two protocols.

"While executing the first protocol (ie Byron), it [the combiner, editor's note] can be triggered by a special on-chain update, after which it makes a smooth transition to the execution of the next protocol (ie Shelley)." – Tim Harrison

In a video published by Kant there is a detailed explanation of the most important features and an assessment of the role in the highly sensitive transition process. The video has since been published in the official Cardano forum.

Conclusion: Will Cardano Shelley “The Next Big Thing”?

The publication of the Cardano Roadmap was like a bang for the entire community. If you take a look at the current Cardano exchange rate, you will inevitably recognize that market participants now have high expectations for Cardano and Hoskinson.

However, the idea of the combiner already shows that the Cardano blockchain is already operating at a very high level. If the blockchain can now successfully master the change towards decentralization, we should experience one, if not the most advanced blockchain ecosystem.

The potential of such a modern blockchain is immense. This would allow ADA to play a more important role in the DeFi sector and start competing with Ethereum. After the successful deployment of Cardano Shelley, course fantasies are also quite possible. In my view, ADA is an interesting speculation about the future. With a limited risk of loss, the coin offers enormous upside potential.