Every digital currency fan knows how Cardano peer-reviews and analytical approaches the blockchain. This method is now giving Ethereum a run for its money because currently, there is a low-key war to rule the crypto market. Although Cardano is giving a tough rivalry to Ethereum, it leads the smart contracts ratio and the DeFi race. Currently, Ethereum has up to 200 projects built on its network. However, Cardano is slow to the race with about 100 to its name.
Nonetheless, the crypto fanatics have started dubbing Cardano as the “Ethereum killer.” Why? The growth of the Cardano system provides the users with the solutions to existing Ethereum challenges. So, one can. Safely say that the reading of Cardano vs Ethereum will solely lie on their belief and policy.
However, today we will present a relative study between Ethereum and Cardano beyond just the ideas and strategy. Here the spotlight will fall on all the facts that make one differ from another. For example, take their use cases, the potential for offers, and their ecosystem. So, without further ado, let’s begin.
The Difference Between Their Operation Ideas
Cardano has a detailed and composed approach when it comes to its ideals. However, compared to Cardano, Ethereum tends to follow the first-then-upgrade ideals to its protocol. Therefore, one can easily infer that it is the result of the founders’ ideals on the usage of blockchain technology.
Charles Hoskinson was one of the co-founders and contributors to the Ethereum network. He then founded Cardano in 2015. So, one can say that he took up strict and academic plans. Not only that, but he also added many strong policies to the network. It took a long time to turn it into a reality; nonetheless, he did it.
While we are on what is right in a scientific method, Hoskinson has claimed that he took rigorous steps. Why? He took hard steps to ensure that the paperwork was scholarly right. Moreover, he also wanted it to be worthy of taking as their inspiration to channel several other projects.
About it, he said, “So if you Google Ouroborus, for example, you’ll see the first result on google’s paper, and then you’ll see citations. Those are all other papers that have referenced our work and built on top of our works if you click that. I think there are over 900 of them.”
This method also shows the vision the business shares. Moreover, it sheds light on what makes it unique from Ethereum. The answer is actually on the analytic and detailed protocols. They wanted to scale and enhance the network in the long run. As a result, they managed to do it by making a strong and precise network.
So, as a result, it clearly shows Cardano has a better network than Ethereum. Currently, the head of Ethereum is Vitalik. Both he and Charles have shared their views on which network is better and provides good service. And thus, began the sudden Cardano vs Ethereum.
Vitalik launched Ethereum when he was a young enthusiast. He tried to take advantage of the weaknesses of Bitcoin. On the other hand, Charles was investing in Ethereum in scaling security issues. As a result, he ended up creating a near-flawless Cardano network which has everything Ethereum lacks.
When one compares the two networks in terms of strategy, one will notice that Cardano focuses more on regions. It uses less blockchain and DeFi adoption. The regions that it focuses on are Africa and South Asia. Compared to it, Ethereum focuses on DeFi adoption. It follows the global finance trend.
About it, Charles said, “I started my company in February of 2015 with a dream of delivering economic identity to those who don’t have it. In the developed world, it’s easy for us to have an identity, passports, and driver’s licenses. It’s easy for us to travel, prove our creditworthiness and get credits.”
Card and has one clear mission. It wanted to verify itself as a name in the region with less DeFi adoption. So, they wanted to scale their ecosystem naturally. Ethereum is a big name having a strategy already in place. Cardano’s mission has also proved why it is a bigger fish in the ocean. In other words, it has higher prospects for investors than Ethereum.
The Difference Between Transaction Capacity
When it comes to transactions, Cardano has won the race. It has led the market compared to its rival Ethereum. Cardano could also process about 250 trades per second. However, when it comes to ethereum, it presents 100 TPS. Moreover, with Ouroborus, Cardano could even process up to 2.5 million trades every second.
Although one may say it is strong, in reality, the financial system is changing. Hence, it has become easier to cover a broader amount of transactions. Similarly, Ethereum 2.0 is targeting to have 100,000 TPS. However, it is still in the pipeline. Moreover, it plans to leave behind Cardano’s speed offering.
About the fees and confirmation time, both have differences as well. Cardano offers its users a lesser trade fee. Moreover, it has a slightly slower confirmation time as well. Compared to it, Ethereum has an average transaction fee with a faster confirmation time.
Cardano has already adopted the PoS consensus. So, as a result, it consumes less energy than Ethereum does. Moreover, Ethereum has a PoW protocol, so it may seem like it stops in its ETH2.0 module. When it comes to the usage of energy, Cardano stands at 0.00052 terawatts. However, when it comes to Ethereum, it stands at 14.81 terawatts. This particular situation has given many stakeholders to think about the networks.
At the time of the writing, Ethereum is ruling the market value and the crypto value. In November of 2021, the value of Ethereum had reached an all-time high of $4,700. However, the value of Cardano has hit a value of barely $2.64 around August of 2021. When it comes to overall values, Ether has a $560B market cap. Whereas the market cap Cardano is over $70B.
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