Cardano, the blockchain project that’s always been known for taking its time, recently hit a bit of a bump in the road with its much-anticipated Chang upgrade. Originally set to launch on August 27th, this major update has been postponed, leaving many in the crypto community wondering what’s next for Cardano and its native token, ADA.
In this article, we’ll break down what the Chang upgrade is all about, why it’s been delayed, and what this could mean for Cardano’s future. We’ll also look at how ADA has been performing lately, especially compared to some of its competitors like Solana and Bitcoin.
What’s the Deal with the Chang Upgrade?
First off, the Chang upgrade isn’t just your average software update—it’s a big deal. It’s a hard fork, which means it’s a significant change that would typically result in a new blockchain. But Cardano’s team, led by the ever-resourceful Charles Hoskinson, has figured out a way to pull this off without splitting the chain in two. They’re using something called a hard fork combinator, which basically lets them combine the new and old systems so that Cardano stays as one blockchain.
This upgrade marks the start of Cardano’s new Voltaire era, which is all about governance. Here’s what you can expect from the Chang upgrade:
- On-Chain Voting: This is a big step toward decentralization. ADA holders will soon be able to propose updates, vote on them, and even delegate their voting power to someone they trust. This is a huge shift from the current setup, where most decisions are made by Input Output Global, the company behind Cardano. With this change, the community will have more control over the future of the network.
- Better Smart Contract Security: Cardano is stepping up its game with Plutus V3, which brings new cryptographic capabilities. This means better security for smart contracts, making the network more efficient at securing data and processing transactions. This should attract more developers to build on Cardano, which is something the network really needs right now.
- Improved Stake Pool Operations: The upgrade will also tweak how fees are calculated and improve the management of stake pool deposits. This should make things smoother and more efficient for everyone involved.
So, Why the Delay?
The Chang upgrade was supposed to go live on August 27th, but now it’s looking like we might see it around September 1st—assuming there are no further delays. The good news is that this isn’t because of any major issues. The delay is just to give exchanges and other applications a bit more time to get everything ready. In the world of crypto, delays like this are pretty common, so it’s not the end of the world.
Charles Hoskinson has assured everyone that the Cardano team is ready to go, and this extra time is just about making sure everything goes off without a hitch. But, as with anything in crypto, there’s always a chance the launch could be pushed back again if something else comes up.
How’s Cardano Doing Anyway?
Let’s be real—Cardano hasn’t exactly been killing it in the market lately. ADA, the network’s native token, is down about 40% year-to-date and a whopping 90% from its all-time high back in September 2021. Meanwhile, Solana is just a stone’s throw away from its all-time high, and Bitcoin has already hit new highs this cycle.
On top of that, Cardano’s network activity has been pretty underwhelming. Its total value locked (TVL) peaked at $436 million in March but has since dropped to around $23 million. That’s a far cry from what you’d expect for a network with such a large market cap. To put it in perspective, Solana’s TVL is sitting at $5.5 billion, which is 20 times more than Cardano’s.
Cardano’s daily active addresses are just under 24,000, which isn’t great when you compare it to Ethereum’s 350,000 or Tron’s 1.9 million. These numbers have led to some people calling Cardano a “ghost chain,” meaning there just aren’t that many people using it right now.
What Needs to Happen for Cardano to Succeed?
Despite all this, Cardano still has a lot going for it. It’s got cutting-edge technology, big-name partnerships, and a strong leader in Charles Hoskinson. But the network’s current metrics show that it’s struggling to keep up with its competitors.
For Cardano to really take off, it needs to develop a stronger network effect and get more people excited about using it. This means delivering on the types of applications and services that users actually want—whether that’s DeFi, gaming, or even meme coins. Other networks like Solana and Avalanche have managed to capture user interest by giving people what they’re looking for, and Cardano will need to do the same if it wants to stay in the game.
Wrapping It Up: Will the Chang Upgrade Make a Difference?
The Chang upgrade is definitely a significant milestone for Cardano, but it might not be the silver bullet that solves all its problems. While the technical improvements are impressive, what Cardano really needs is more users and developers to jump on board.
If Cardano can use this upgrade to build a more active and engaged community, it could start to live up to the expectations that have been placed on it since its launch in 2017. But without a stronger network effect and more excitement from users, the upgrade alone might not be enough to turn things around.
So, if you’re holding ADA, it’s important to stay informed and keep a realistic view of the challenges ahead. The Chang upgrade could be a step in the right direction, but it’s just one part of the bigger picture that Cardano needs to figure out.tinues to grow and mature.er certain, but by staying informed and adaptable, we can navigate these challenges and position ourselves for success in the long run.
Hopefully, you have enjoyed today’s article. Thanks for reading! Have a fantastic day! Live from the Platinum Crypto Trading Floor.
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