Cardano’s Alonzo

Why Cardano’s Alonzo Hard Fork is a Game Changer?

Launched in 2017, Cardano is a third-generation blockchain and utilizes DPoS consensus (decentralized proof-of-stake). It is one of the closest competitors to Ethereum and the recent Alonzo hard fork upgrade strengthens its claim.

ADA turns Unstoppable

In 2021, ADA, the native token of Cardano, achieved something rare. It managed to decouple from the Bitcoin price movements and establish its own rallies.

Introduction to Alonzo

Alonzo and what does it mean for Cardano?

Alonzo is a hard fork event that has introduced smart-contracts to the Cardano network. The introduction of smart contracts will allow developers and projects to fully utilize Cardano’s blockchain just the way they are using Ethereum currently.

Is Alonzo well-tested?

Cardano blockchain is popular for its research-based well-executed roll-outs and Alonzo hard exemplified the same. Without any downtime, Alonzo's hard fork was executed on September 12. And the hard fork has been really successful. Within 24 hours, Cardano witnessed more than 100 smart contracts run on the network.

Alonzo Phases

Alonzo roll-out was conducted in four phases to ensure that the Alonzo mainnet does not break anything that was already working.

Alonzo Blue

During the Alonzo Blue phase, selected Cardano Stake Pool Operators (SPO), developers, 7 external European companies and 1 US company successfully tested building test smart contracts.

Alonzo White

After successful completion of phase blue, Alonzo testnet successfully forked to Alonzo White on Jun 15. This phase of testnet allowed a close group of 500 users to deploy demo dApps and use smart contracts. It also supported the minting of NFTs.

Alonzo Purple

On August 8, Cardano announced the successful spun-up Alonzo Purple- the first public Cardano Testnet to support smart contracts. It was the third and final stage of the Alonzo upgrade.

Alonzo mainnet

Alonzo mainnet was rolled out on September 12 and we might soon see dApps utilizing Cardano smart contracts to deliver innovative DeFi solutions.

Value Proposition of Alonzo

  • Alonzo and Network fees

How will Alonzo impact the network fees?

A smart contract is a larger transaction. Currently, a transaction on Cardano costs approximately 0.15ADA and then about 0.0044ADA per Kilobytes.

What will happen after Alonzo?

Alonzo is not the final destination for Cardano. It will actually just mark the completion of the Goguen Era which was focused on smart contracts. Goguen will be followed by Basho and Voltaire

But Hydra, the Cardano scalability solution is expected to theoretically scale Cardano up to 1 million TPS.

It is double the TPS of the current Visa network. Hydra is already in an advanced state of development.

The Future of Cardano

Most likely smart contract development will gain momentum with Cardano’s entry. Ultimately, the ideal DeFi landscape that ought to have multiple players will also grow.

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