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Cardano was launched in 2017 by Ethereum co-founder Charles Hoskinson to compete with Ethereum and other decentralized application (DApp) platforms. Cardano claims to be more scalable, efficient, and secure than Ethereum and its competitors --- it can process around 250 transactions per second (TPS) compared to Ethereum’s 15-20 TPS.

The network uses the Ouroboros family of proof-of-stake consensus mechanisms in which validators stake their ADA tokens and are rewarded in proportion to their staked assets. The validators with the highest amount of staked assets are chosen as winners and are responsible for validating new transactions that are then verified by other network validators.

Cardano claims to be the only open-source blockchain extensively peer-reviewed by programmers, scientists and researchers. Since its launch, Cardano’s native token ADA has risen as a notable contender to Ethereum by becoming one of the top 10 cryptocurrencies in market cap. Thus, buying ADA has been a popular investment choice. The maximum supply of ADA is capped at 45 billion tokens.