Is Cardano a Good Place for Crypto Novice’s to Start?
Cryptocurrency is one of the most exciting topics in the tech world today. These digital assets are tipped to be the future of the financial world, and we’re seeing everyone from ordinary citizens to huge global brands get involved with crypto.
For the crypto novice, it can be difficult to know where to begin when exploring the world of cryptocurrencies. We think Cardano is a great place to start. In this article, we go over what Cardano is, the Cardano price history, and why we think it’s the best coin for crypto beginners.
Cardano: What is it?
Even seasoned crypto pros can get confused by the technology, so for beginners, it’s important that you have a proper understanding of exactly what each coin does and how it works.
Cardano is a blockchain platform that uses the ADA cryptocurrency. It was first launched in 2017 and was developed by previous Ethereum employees, who brought their knowledge and experience to the table to create a coin designed to rival Ethereum and even Bitcoin’s dominance.
Perhaps Cardano’s most unique feature is that it does not have a whitepaper. Traditionally, cryptocurrencies publish a whitepaper in which they detail the technology behind the asset and the ethos behind its design. Instead of a whitepaper, Cardano developers issued and continually update a roadmap. This roadmap tracks the progress of the asset’s development and outlines where it’s heading in the future.
Another key feature of Cardano is its proof-of-stake (PoS) consensus mechanism. It was the first blockchain platform to implement a PoS system, which is rapidly becoming an industry standard. PoS has several advantages over the original proof-of-work (PoW) consensus mechanism, which is still used by Bitcoin, and, crucially, is more environmentally friendly.
For beginners who are looking to get into crypto but are conscious of the environmental impact, Cardano is the perfect solution.
Cardano as an App Development Platform
Much like other blockchains, Cardano serves as a network through which peer-to-peer currency transactions can be verified and processed in a decentralised way.
However, Cardano was also designed with another purpose in mind. It is a platform that developers can use to build their own decentralised apps (dApps) and tools, and it can be used to utilise and implement smart contracts. Smart contracts are self-executing agreements that can be used by anonymous parties to process agreements and transactions. We’re seeing smart contracts adopted across a range of different industries, including insurance, healthcare, real estate, and law.
Cardano is focused on scalability, and the developers designed the blockchain with this in mind. Crucially, Cardano is interoperable, which means it is capable of communicating with and connecting to other blockchains.
Cardano’s Price History
Cardano is a sophisticated blockchain and cryptocurrency that offers a number of key advantages over more established assets such as Bitcoin and Ethereum.
Currently, Cardano has a market cap of $10.28 billion, which makes it the eighth largest in the industry. However, for beginners looking to invest, the best approach is to carefully study Cardano’s price history and performance over time to get an idea of the asset’s current health and future potential.
Cardano was launched in 2017 and, despite an early boost in the subsequent months, the coin’s price remained low for a number of years. However, in early 2021 Cardano went on an extended bull run, skyrocketing from a price of $0.18 to $2.85 in just over eight months.
Today, Cardano sits at a price of $0.29. This is a drop from the asset’s high in 2021 but still represents YTD growth of 17.62%.
Investing in Cardano as a Beginner
If you like the sound of Cardano and you want to explore investing in it as a beginner, there are a few things you need to keep in mind and a few safe investment practices you should always be aware of.
First, establish a plan and set goals. What do you want to achieve through your investments? Do you want to buy and sell quickly, making small profits regularly? Or do you want to buy and hold for a long time, profiting from long-term, steady growth? The option you choose will determine your investment strategy, so it’s crucial you establish this ahead of time.
You always need to set yourself a budget. Investment is never a sure thing; you aren’t guaranteed to make your money back. Never invest more than you can afford to lose, otherwise, you could find yourself in serious financial difficulty.
Finally, you’re going to have to buy Cardano through a crypto broker or exchange. Read up on how these platforms work and how best to navigate them before you proceed.
Conclusion
The world of crypto can be intimidating for novices and newcomers. There’s lots to learn, but the more informed you are the better chance you’ll have of making the right decision. Cardano was launched in 2017, designed to rival established coins like Ethereum. As well as serving as a platform for financial transactions, Cardano allows users to build apps and execute smart contracts, with even more functionality planned for the future. Cardano is an incredibly exciting asset, and it’s the perfect place to start for beginners.
