Cardano separates the accounting of value from the story behind why a value was moved. This is to avoid bias in execution order.

Cardano Settlement Layer

Contains the information on why transactions have occurred. This layer supports smart contracts.

Cardano Computation Layer

This consensus mechanism depends on selecting validators by their proportion of holdings. Cardano is an example of a blockchain that uses Proof of Stake.

Proof of Stake Protocol

Ouroboros is Cardano's specific proof of stake protocol.
Cardano tested the protocol Ouroboros by having expert developers implement and test the protocol. More work was needed, leading to protocol Ouroboros Praos being created. Although time consuming and costly, revising protocols like this is important to make sure it will last for decades. 

Ouroboros

Different cryptocurrencies each have their own following and market capitalizations, yet they are built from the technologies. This points to how a large part of the value of a cryptocurrency is derived from its community. For a cryptocurrency to change in a productive way, its users should understand the social contract behind their protocol.

Social Elements of Cryptocurrencies

This is the scripting language used by Cardano. It was inspired by ideas from Simon Peyton Jones.

Simon Scripting Language

KMZ Sidechains allow for secure and non-interactive movement of funds from the Cardano Settlement Layer to any Cardano Computation Layer or any other blockchain that supports KMZ Sidechains.

KMZ Sidechains

Assets created by users that piggyback off the protocol of the blockchain

User Issued Assets

Smart contracts are self-executing programs that are coded with the terms of agreement between a buyer and a seller. They run when predetermined conditions are fulfilled. Smart contracts automate transactions to meet two main goals: reducing time loss and participant involvement. 


Smart contracts

A programming platform used for writing functional smart contracts on the Cardano blockchain. Based on the Haskell programming language.

Plutus

Staking allows user to earn passive income on their Cardano while verifying the blockchain. Moreover, the low gas fees is why Cardano is an attractive blockchain currency compared to others.

Staking Cardano and Gas Fees

* Cardano Settlement Layer
* Cardano Computational Layer
* Proof of Stake Protocol
* Ouroboros
* Social Elements of Cryptocurrencies
* Simon Scripting Language
* KMZ Sidechains
* User Issued Assets
* Plutus
* Smart Contracts

New York University

University of Michigan - Ann Arbor

Cardano is a public, open-source, proof-of-stake blockchain platform. It was founded in 2015 by Charles Hoskinson, one of the co-founders of Ethereum. 

Cardano (ADA)

Hoskinson, Charles. (2017). Why Cardano. https://why.cardano.org/

Why Cardano

A way for governments to gain an element of control over cryptocurrency transactions. It holds everyone accountable. Regulation is often needed or desired as financial systems scale.

Cardano Regulation

Cardano exists to provide a collection of design principles and engineering practices to create a better balanced and sustainable cryptocurrency ecosystem. It aims to solve scalability, interoperability, and sustainability on cryptocurrency platforms

Motivation for Cardano

Key Cardano Terms

To provide a basis for the design of a self-evolving financial stack in jurisdictions that lack them. It's long term vision looks to enable economic empowerment for those who need it most.

Vision for Cardano

Through Cardano's proof of stake consensus, it is less power intensive and more environmentally friendly.

Sustainability of Cardano 

- The Art of Iteration
- Facts and Opinions
- Functional Sins
- Why Haskell?
- Formal Specification and Verification
- Transparency

Learn Before

Related

Learn After