Learn about the deflationary mechanism that brings growth opportunities to Cardano in 2024.
https://www.cardanonewsletter.com/ | April 18, 2024.
Unveiling the Cryptocurrency Phenomenon: The Significance of Halving
In the intricate world of cryptocurrency, a singular event emerges, shaping the very fabric of digital assets - halving. This phenomenon, deeply ingrained in blockchain technology, heralds the reduction of block rewards allocated to miners, thereby ensuring scarcity and fortifying the integrity of cryptocurrencies, most notably Bitcoin.
A Crucial Aspect of Cryptocurrency
Halving represents a pivotal moment in the lifecycle of cryptocurrencies, serving as a deflationary mechanism that curtails the issuance of new coins. This deliberate reduction in supply plays a fundamental role in solidifying the value proposition of digital currencies, particularly Bitcoin, by instilling a sense of scarcity and fostering trust within the ecosystem.
Since its inception in 2009, Bitcoin has undergone a series of halving events, occurring at regular intervals of approximately four years. These occurrences symbolize the maturation of the cryptocurrency landscape, with each event amplifying anticipation and speculation among investors and enthusiasts alike.
The Approach of the Next Halving
As the crypto community eagerly awaits the impending date of the Halving, fervent speculation abounds. Will historical patterns repeat themselves? Will the delicate balance of supply and demand propel prices to new heights? The countdown intensifies, setting the stage for a momentous event in the realm of digital finance.
In the wake of Bitcoin's halving events, discerning investors seek alternative avenues with distinct value propositions. Among them, Cardano: A blockchain platform renowned for its innovative features such as the proof-of-stake consensus mechanism and unwavering focus on sustainability. Positioned as a beacon of innovation, Cardano emerges as a compelling option for those navigating the complexities of the cryptocurrency landscape. Let’s take a closer look.
Cardano Investors: What makes it unique?
With a combination of security, descentralization and sacalability features we can certainly say that Cardano is making a difference in blockchain ecosystem. With innovative and unique proposals on the market, this blockchain is among the main options for investors when choosing their next move.
A huge reason to call it a big player consists on over 165 proyects, plus more than 1300 in development, and over almost 10 million native tokens in a top 10 crypto community-owned. Cardano is an on-chain sovereign wealth fund that consistently leads decentralization indexes, and is about to enable the on-chain governance with Chang hard-fork.
In addition, it has one of the most solid ecosystems in the world of cryptocurrency. And you can daily check this up in Github, where Cardano consistently leads the list of developers releasing code.
A blockchain that continues to grow by strides
It is not news that the Cardano network is working on big things. Such is the case of World Mobile Token trying to bring communication to those without access; Cardano Foundation working with states to secure voting; or Bool.io, a Web3 marketplace for decentralized eBooks and Audiobooks that is already changing the publishing landscape.
Furthermore, the Iagon x Nuvola Partnership constitutes another step into the future of Cardano. To advance the DePin industry, the first DePin aggregator of Cardano aims to support multiple emerging cloud storage & computing infrastructures across a variety of blockchains.
In other news, EMURGO and Huawei Cloud have partnered to strengthen the Cardano network and promote blockchain adoption in Asia, the Pacific, and Africa. A Cardano Validator Node will be established on Huawei Cloud, expanding Cardano's reach and leveraging Huawei's robust cloud infrastructure to innovate within the public blockchain ecosystem. This partnership reflects a shared vision of accelerating web 3.0 adoption, emphasizing mutual commitment to transparency and trust in the cloud.
Upcoming releases
In a constant development network, great news comes up every day. Let’s take a closer look on what’s going on in Cardano’s universe:
Lenfi introduces pool manager NFTs for DeFi lending.
Axo has launched with various use cases including synthetics, spread betting, options, lending, index funds, futures, and perpetuals.
Mehen introduces the first homegrown fiat-backed stablecoin $USDM.
Nucast.io streams Indian Pro Boxing League matches, a Web3 experience.
Synthetics protocol Butane is loading, set to launch in Q2 2024.
Splash protocol brings an advanced high-throughput trading platform that offers a mix of order book and AMM pools, and promise 75% lower fees than AMM dexess.
Leviathan L2 introduces advanced yield aggregation and high throughput.
SmartPlacesX allows buying plots of land and earning rewards for economic activity.
Cardano governance roadmap includes Chang hard fork in Q2-Q3.
ZeshApps offers an integrated reward system with AI.
Indigo Synthetic Assets on Cardano introduces Buy to Burn feature, an Indigo Protocol V2 feature that utilizes Dexter, Indigo's open-source DEX Aggregator, and allows users to swap $ADA for iAssets while managing their CDP.
Danketsu NFT announces IP rights with holders.
FluidTokens on Bitcoin aims for interoperability between Bitcoin and Cardano.
NMKR, invested by EMURGO, is working on RWA and governance tools.
Begin Wallet introduces new exciting features.
Weekly dev reports include various updates like Node v.8.9.0 release and Plutus v1 support.
SNEK coin feat. Dex Hunter introduces SNEKbot, a Telegram-based trading bot.
Pledgio brings crowdfunding to Cardano leveraging blockchain security.
Whimsy shows up as a fractionalized real estate investment platform on Cardano.
Pondora constitutes a new NFT marketplace with horizontal scaling.
The NEWM Studio allows artists to mint & distribute music on-chain.
Flac Finance is building a RealFi platform on Cardano with a partnership with Dex Hunter.
High expectations based on previous Halving's results
We must analyze some concrete data. Since the last Bitcoin Halving, Cardano ADA has increased by over 800%, compared to Bitcoin's 600% rise. It means that over the past four years, Cardano has outperformed Bitcoin by 200%.
You can look at past cycle tops to find a target: 2018 peak to 2021 peak was a 2.3X.
The Dawn of a New Era
As investors and developers look for alternatives that offer innovative solutions to scalability and sustainability challenges, Cardano's value proposition becomes more prominent, and the convergence of scarcity and opportunity beckons.
Whether you're a seasoned investor well-versed in the intricacies of digital finance or a curious newcomer eager to explore uncharted territories, the next halving promises to be a watershed moment in the evolution of cryptocurrency.
Embrace the journey, seize the opportunity, and witness history in the making as scarcity and innovation converge in the digital frontier. If you want to learn more about Halving and how does it hit on Cardano blockchain, follow us and don't miss the news!