Over the past week, ADA, the native token of the Cardano blockchain, has soared nearly 20% in anticipation of the new Vasil hard fork.
Cardano rises as the community awaits the Vasil hard fork
In a cryptocurrency market that is still fundamentally nervous and uncertain, this week saw a jump of almost 20% for ADA, the native crypto of the Cardano blockchain.
This leap took the price above $0.6. It was attributed to the news of the imminent arrival of the new Vasil hard fork. This update aims to improve network throughput and smart contract capabilities.
Cardano is planning to scale down its core protocol through sharding without compromising decentralization or security. The Vasil hard fork is likely to be a crucial first step in the company’s effort to make the blockchain even more scalable, as it will enable Vertical and Horizontal Scaling in Layers (VASIL).
Charles Hoskinson, the CEO of Input Output Hong Kong (IOHK), the company that created Cardano (ADA), enthusiastically explained the news a fortnight ago, stating:
“As many of you know, a major major major hard fork combinator event is happening in June, which is the Vasil hard fork, and that is going to contain pipelining, which will be a massive performance improvement to Cardano, alongside the first wave of significant Plutus enhancements since Plutus shipped in September”.
Upcoming scalability improvement for the Cardano blockchain
With this new update ADA, which is already the seventh most capitalized cryptocurrency on the market at over $18 billion, will become even more attractive to dApp developers.
This is expected to be just one of the first updates to Cardano, which seeks in this way to increasingly become Ethereum’s competing blockchain. And this is why the Cardano team is studying solutions that can improve the scalability and sustainability of the blockchain itself.
There is also great expectation among the community following the project for the next update, known as Ouroboros Genesis, scheduled to be launched in August, which will allow new network members to integrate (or reintegrate) into Cardano’s blockchain with ease.
In detail, entities will be able to participate in the execution of the protocol using only the information from the genesis block, without having to obtain a trusted checkpoint block.
As for Vasil, which is scheduled to launch by the first half of June, the development team explained how:
“Reference scripts reduce your transaction costs, Currently, new scripts need to be included in each transaction. With reference scripts, you can interact with the script through a reference, pushing it onto the chain. Interaction with a smart contract becomes minimal”.
Cardano seems to have been one of the cryptocurrencies that best withstood the earthquake caused by the failure of the Luna project. Now, thanks to news of new updates on the way, it has bounced back and according to some experts, ADA’s price could soon be back above $1.