Why I beat the drum of Cardano’s long-term philosophy
Cardano (CCC:ADA-USD) experienced a downturn. A quick glance at his pricing table reveals it. He has been in bear territory since early September.
But, if you’re anything like me, you think Cardano is one of the altcoins with a solid long-term outlook. These are still the early days of cryptocurrency. One of the most important things to do is to just understand the plans, decide that you believe in their goals, and stick to them if you do.
Over time, many altcoins will multiply in value. The problem is, it’s hard to separate Ponzi schemes from the first legitimate blockchain champions. However, one of the most useful things to do is understand the philosophy and goals of the projects. Separating the wheat from the chaff has a lot to do with communicating a goal early on.
Cardano shines with its plan for success
Cardano is arguably the most philosophically comprehensive crypto project out there. If you’ve ever wondered what cryptocurrency and blockchain really are, take a look at Cardano.
the goal and roadmap featured on their website actually communicates a project that you, me, and everyone else can relate to. By this standard, the whole project is by far the best communicated altcoin company in my eyes.
That doesn’t necessarily say something new – in fact, you could argue that it deals with the same kind of platitudes that make many people wary of crypto in the first place:
“Cardano is built by a decentralized community of scientists, engineers, and thought leaders united in a common goal: to create a technology platform that will trigger the positive change the world needs. We believe that the future should not be defined by the past, and that more is possible – and, through technology, can be made possible for all. We measure the value of a task not by its challenge, but by its results.
It probably sounds as vague to you as it does to me. But the more I read about Cardano, the more convinced I have been that it has a great chance of long term success.
I keep coming back to this roadmap as I try to understand the cryptocurrency revolution. Basically, you can’t go anywhere if you haven’t made a plan to get there. Cardano’s roadmap is exactly that: a plan for success.
It will continue to waver along the way, but it will also keep moving forward. Cardano has entered the third of five stages – the The Goguen era – very recently. And it’s all about smart contract functionality.
Smart contract functionality
Just a few months ago, Cardano entered phase three of its five-phase plan. He completed the Alonzo hard fork on September 13, which introduced the smart contract scripts powered by Plutus. However, despite the enthusiasm for the addition and a successful hard fork, ADA has virtually lost value since then.
The decline is largely correlated with a few things. First, Bitcoin has been volatile over the past several months. Cardano typically moves with Bitcoin prices, but that doesn’t explain the overall slowdown.
Cardano had other issues as well. At the end of November, the Israeli cryptocurrency exchange eToro announced that it would remove Cardano from the list by the end of the year. This was another factor that made Cardano lower past Alonzo’s hard fork.
My point here is: Cardano is in a bearish phase. However, it remains one of the most fundamentally strong cryptocurrency projects.
What to do with Cardano
Long-term investors interested in cryptocurrency will be hard pressed to find a crypto project built more logically than Cardano.
This will not change despite the downtrend surrounding it. If anything, there is a big downward buying narrative in Cardano right now.
As of the publication date, Alex Sirois does not have (directly or indirectly) any position in any of the titles mentioned in this article. The opinions expressed in this article are those of the author, subject to InvestorPlace.com Publication guidelines.
After giving up early in the morning and late at night as an analyst for a life of sweatpants, Aaron Levitt has been an investment / personal finance writer for almost fifteen years. In addition to contributing to InvestorPlace, his work can be found on Investopedia, Kiplinger’s Personal Finance, and the Miter Media family of websites. You can follow her picks, casseroles, and general market thoughts on Twitter via @AaronLevitt.