The future of cryptocurrency lies in the expansion of DeFi applications. There is a phenomenal shift undergoing in the crypto space empowering Decentralised finance. It’s revolutionizing the way of facilitating transparency, permission, risks, and control. Hence, the top cryptocurrencies Ethereum, Solana, and Cardano battling it out to dominate the space. Let’s dive and discover who could take away the momentum!
Ethereum vs Cardano vs Solana!
Ethereum the second most valuable crypto asset surged by over 800% last year. However, the asset’s functionality in recent days seems to have slowed down as its price dropped by about 16% in recent months. On the other hand, the platform has been battling high transaction fees, relatively slow transaction speed. It possesses 30 transactions per second coupled with massive transaction fees of $31.35 per block. The platform makes use of smart contract language solidity.
Gradually, Solana and Cardano seem to be taking away the momentum from Ethereum, as traders seek alternatives for faster network speed and reliable transaction fees. While Cardano works on the Proof-of-Stake consensus mechanism. Enables over 250 transactions per second with average fees of $0.16 per block, which is more efficient than Ether. Additionally, Coinmarketcap shared an insight indicating that ADA is undervalued against Ethereum.
However, Solana is likely to outperform Cardano and Ethereum. As the SOL price soared by almost 4,500% from the past year. In addition, the ecosystem allows over 50,000 TPS with relatively low fees of $0.00025. Hence, the blockchain offers cheaper fees and faster transactions than Ethereum and Solana.
DeFi Space Awaits the Intense Fight!
Meanwhile, Ethereum’s attempt to shift over to Proof-of-Stake (PoS) scheduled for the year’s end or in early 2021, could strengthen the network speed. This upgrade has the potential to solve 90% of the problems associated with the issuance, which could take the price beyond $20k.
On the other hand, Cardano is still in its nascent stage of development. As the platform is trying hard to get into the mainstream it could become a strong competitor for Ethereum in the Future. Solana ecosystem is way ahead of the other two cryptos in terms of transaction speed and costs. Another unique element to the platform is its consensus mechanisms, which incorporate both proof-of-stake and proof-of-history. It’s going to be a tight battle between these three.