Bitcoin is currently trading at its highest levels ever, and some altcoins have retested their all-time highs. Two altcoins that have retested their all-time highs are Ethereum and Cardano. Ethereum recently hit $2000, while Cardano retested $1, giving investors significant gains over a short period. These two are in competition with each other. It is pretty natural to wonder, which of these two will do best in the long run? Well, technically, both of them stand a good chance to make considerable gains in the long run, but Cardano has much better prospects. Several factors support Cardano as a potentially big mover in the long run.
For starters, Cardano was built with scalability in mind. The Cardano project started way after some of the scalability issues affecting Ethereum had come to the fore. Cardano has focused on avoiding those issues for the 3-plus years that it has been under development and become a much better platform blockchain. This makes it quite competitive for anyone looking to launch Dapps and also for token transfers when trading tokens on the project. To understand the magnitude of such, one needs to look at Ethereum gas prices. They are so high that sending small amounts of tokens on Ethereum has almost become impossible. The costs are too high. But one can argue that Ethereum is also improving with Ethereum 2.0 and many other improvements.
In reality, the gas fees are still high, and the scalability issues persist. The problem lies in the fact that Ethereum is trying to improve on something that is already running, which is quite difficult. If you an inefficient car, you would find it harder to upgrade it as compared to buying a new car that has the specs that you are looking for in the first place. In this context, Cardano is like a new car that was built with all the latest technologies in place. Besides, the project is continually working towards becoming the best at what it does.
Recently, the project did an update on what has been accomplished so far. The update stated that they had upgraded the Cardano testnet to Mary.
We plan to deploy the Cardano update proposal to mainnet on February 24, which would therefore deploy ahead of the boundary of epoch 250 and take effect on March 1. If we need a few more days of testing, we’ll deploy ‘Mary’ the following epoch instead, which will take a five-day period required for updates to take effect. ‘Mary’ has been successfully running on our testing environments for several weeks, so our confidence level remains high. As always, however, we’ll follow a strict process (developed and honed over the previous Shelley and Allegra HFC events) to get this right.
Mary testnet, named after Mary Shelley, is a big deal and will allow users to create tokens on the Cardano blockchain. This will put Cardano on the same level as Ethereum. The only difference being, transacting in tokens on the Cardano blockchain will be cheaper, and much more efficient.
Nonetheless, that is not to say that Ethereum is going anywhere soon. The project has the network effect, and institutional players are already building on the Ethereum project. It is a project with good potential too, but Cardano could beat it in gains in the long run. One also needs to keep an eye on BNB. It is a crypto with so much potential, considering that it is a utility token for one of the world’s most innovative exchanges.