All cryptocurrency traders know about Cardano and its increasing popularity day by day. All thanks to its eco-friendly nature, and it offers many other great features as well. But some experts claim that Cardano is nothing more than a regular cryptocurrency, which it is not. So special. Also, it has some potential downsides; Let’s discuss them. The developers of the Cardano project claim great things and that the Cardano project has many advanced benefits and scientific evidence. They also have pages and paragraphs to prove the benefits of Cardano.
But if you look closely, you won’t find any hard evidence that Cardano is scientifically proven and better. At the same time, these paragraphs cannot even prove the developers’ claims. However, Cardano is meant to be built in advance, and a beneficial distributed system must also have a great design and mechanism, as the developers have told Cardano. But you can see that Cardano is just a cryptocurrency based on a simple blockchain like others, and there is nothing good about this crypto, and it cannot be compared to cryptos like Bitcoin and Ethereum. Cardano may seem very advantageous, but the fact is that it is a very new crypto on the market.
It was founded in 2015 and is very new in a market that people are not quick to trust. I mean, the crypto market is a highly unstable market that crashes, and prices fluctuate easily and regularly. Well, it doesn’t crash regularly, but it crashes when there’s a major incident on the planet. So, in a highly unstable market where people don’t have solid data to predict the market, why trust Cardano when it’s a regular system that claims to be the best?
We all know that all cryptocurrencies use some kind of mechanism. There are two main ones used in crypto, namely Proof of Work and Proof of Stake. Cardano uses the Proof-of-Stake mechanism. This means that the miners will be randomly selected as the holders of the crypto for the next block. With other cryptos, miners have to prove their work with computer power and almost without words.
But it doesn’t happen with Cardano. Instead, some random miners receive the Cardano, increasing the security risk, and potential hackers can get hold of the crypto this way. I admit that Cardano is focused and has great design and construction features, and we should all appreciate that. But it is also a fact that developers are unaware of Cardano security.
However, if you think a lot about security, then I would advise you not to invest your money in Cardano. At the same time, Cardano is like a lottery where everyone is working but not knowing who will win the next block. This makes Cardano very vulnerable to hackers, threats and other potential Security Risks.