Cardano (ADA) has experienced an increase in value of approximately 50% since May 25. This recent rise in value comes after project co-founder Charles Hoskinson revealed the roadmap for the much-publicized „Shelley“ Cardano update via a YouTube podcast hosted by cryptomontage expert Lark Davis, also known as Cryptolark.
As part of the above-mentioned update, the Cardano ecosystem will be transformed from a centralized to a distributed network. Commenting on the issue, Hoskinson said, „This is like Ripple changing its consensus protocol. […] No crypto currency has really done this on this scale after its launch.
In recent years, a couple of teams of developers working for Input Output HK, the main body overseeing Cardano’s activities, commonly known as the IOHK, have concentrated their efforts on developing two unique versions of the project’s staking protocol: a Byron-derived approach, which is currently active, and a „Haskell“-based Shelley system. In Hoskinson’s own words, Shelley’s transition will probably be completed in the first week of July.
The price of Cardano (ADA) rose by 60% after the update of Shelley’s proof-of-stake platform
In providing his thoughts on the matter, Bakyt Azimkanov, the director of global communications and marketing at the Cardano Foundation, told Cointelegraph that after Byron’s recent reboot, the Cardano team has moved to transition from Byron’s code base to the Shelley protocol. He added that the process is taking place in two phases: Testnet 1 for friends and family (about 20 high-performance staking groups, i.e., pioneers) and Testnet 2 for the general public.
„Shelley is being developed with a guarantee that requires us to use a comprehensive testing approach. The protocol will serve as a springboard for 21st century transactions.
What is Shelley?
Cardano’s team told Cointelegraph that Shelley is basically one of five development phases related to the project. In this sense, Shelley will seek to build on the solid foundation established by „Byron,“ thus setting the stage for future eras and functionality. However, as noted above, the ultimate goal of this latest update will be to make the Cardano ecosystem completely autonomous by decentralizing the platform’s internal operational activities.
In terms of how Shelley will fulfill her promise of decentralization, the team hopes that she will ensure that ADA holders, regardless of the amount they own, can participate within the Cardano Ecosystem because of the proof-of-stake system that already exists and is being used by Bitcoin Evolution the currency. In addition, by delegating their participation, token holders will have full freedom to participate and manage the network.
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In addition, the update will allow ADA holders to join and form staking groups. Not only that, but it will also provide monetary incentives for stakeholders to follow the protocol and establish the infrastructure required to run nodes smoothly and efficiently. On the subject, Azimkanov noted:
„The key benefits Shelley will bring include: decentralization, energy efficiency, more practical and functional applications for users, demonstrably secure consensus, verifiable random function, hard bifurcation combiner, multi-signature and much more.