Following the successful launch of fully decentralized Shelley Network, Cardano is on track to launch smart contracts and native assets in 2020, according to a statement by its founder Charles Hoskinson.
Hoskinson made the remarks in response to criticism made by EOS CTO Daniel Larimer who said that the Cardano blockchain ecosystem is not powerful enough to run DeFi or any other decentralized applications.
“Smart contracts and native assets are coming this year, our latency is lower than Ethereum’s-the dominant DeFi platform (hydra brings it to subsecond.)”
With the recent launch of Shelley mainnet, Cardano achieved a critical milestone and said that things should be easier going forward, but for some reason, Larimer thinks Cardano is still inadequate. He said:
“Your protocol doesn’t work for applications other than currency, the confirmation latency is too long for most DeFi and completely unsuitable for most use cases. What are the material facts I’m wrong about?”
Introducing a Superior Solution to Scalability Problem
The community has rallied support behind Cardano with staking pools already up and running. According to one of the largest staking pool runners on the network, Cardano’s infrastructure is superior to EOS and is the future of DeFi.
“There are two problems with DeFi at the moment. Expensive transactions and unreliable smart contracts. Cardano will offer a better platform in 2020. BTW latency of EOS is good just because of poor decentralization (DPoS) Cardano uses PoS and Hydra will smash EOS.”
Cardano’s IOHK unveiled Hydra in March 2020 after five years of development. Hydra is a scaling protocol that is supposed to enable Cardano to scale a million or more transactions per second, making it one of the fastest processing networks, faster than Ethereum and Visa.
“Hydra enables Cardano to scale horizontally, increasing performance by incorporating additional nodes, rather than vertically, through the addition of more powerful hardware. Early simulations show that each head is able to perform up to 1,000 TPS. With 1,000 heads, this could be as high as 1,000,000 TPS. Once implemented, Ouroboros Hydra will allow Cardano to scale to unrivalled levels – to the level of, for example, global payment systems.”
In addition to Ethereum’s 2.0 upcoming Sharding technology, the successful implementation of both protocols in their separate ecosystems will solve the scaling problem that plagues the blockchain development industry. This will open up the DeFi sector to more development and capital inflow.
This is the second time that Charles Hoskinson has received criticism for saying that development on Cardano will be more epic and will come sooner than many people have anticipated.