First generation cryptocurrency is Bitcoin, Litecoin or Dogecoin. Bitcoin was the first cryptocurrency. It was released in 2009. It represents a game-changing technology for the financial World. Nevertheless, the first generation of cryptocurrencies is broadly applicable as currency for paying for goods and services due to problems with the speed of transactions, High commissions, and scalability.
Scalability is a characteristic that reflects the ability of the system to function without errors under an ever-growing workload.
Second generation was created by Ethereum, which brought to the world of cryptocurrency smart contracts, which are program stored on the blockchain allowing to execute any operation of the property sales without any third parties with the need to trust them. Even though this generation has significantly expanded the use of cryptocurrencies in the real world. The problem of scalability remains unresolved.
Third generation of cryptocurrencies needs to meet the requirements for a sustainable management system, which is scalable decentralised, fast and can interact with other blockchains. This is what Cardano is committed to do.
Cardano is a blockchain building on OUROBOROS consensus protocol, powered by the proof of stake technology. Ouroboros is the first secure proof of stake protocol. Here as in the classic proof of stake consensus algorithm. Validators confirm blocks, that is, by network participants who have a certain amount of cryptocurrency that contributed to staking.
Ouroboros divides the Cardano network called ERAs at time intervals. Each of which in turn is divided into slots.
A slot last one second. And currently, Cardano Era includes 432,000 Slots. That is approximately five days. So does the Cardano network is easily scalable by adding slots in an era or by adding multiple chains at the same time. Of the implementation of all technologies, the Cardano network will be able to process up to...