What is the destination of the digital encrypted currency in the future of the bitcoin and the etheric?

In the last article, we mentioned that something that might overtake the ether workshop and replace bitcoin should have flexible scalability, excellent consensus mechanism, sustainable self development, convenient interoperability and regulatory considerations. In all the encrypted digital currencies on the market, our most profound thinking about these issues is the Cardano mentioned earlier.

Although many projects are now known as Blockchain 3, Cardano is only one of them, but its goals are scalability, security sustainability and interoperability. Thinking is one of the best. In the last article, we briefly discussed some philosophical ideas of digital money. Along the previous idea, let’s see what the potential future of the bitcoin and the ether workshop is. (if you have some knowledge of the following, please communicate with us or read the last article to complete the shortcomings).

Extensibility

We have said more than once that the occurrence of any transaction contains the following two sets of information:

1. who is the person for money, who is the person who receives the money, how much is it, and when?

2. why to give money, how to give money, under what circumstances, in what circumstances, and so on.

The information in the sequence number 1 is the basic information of the transaction, and the sequence number 2 is the logical information of the transaction. These two information always exist, but they do not always need them to exist at the same time. For example, bitcoin still only develops the information in the sequence number 1. OK. In real life and in a variety of complex scenarios, we need a more flexible way to distinguish information between 1 and 2. At present, all the intelligent contract platforms that record 2 information on sequence numbers, including the ether Fang, combine information. Accounts, which make the contents of the bookkeeping redundant, sometimes inadequate, and any change in the intelligent contract can lead to a chain reaction of transaction information and even the currency forking.

Therefore, the feasible solution is information stratification. Cardano is the first layered digital encrypted currency based on this philosophy. It creatively divides all the chain information into the protocol layer and the computing layer. This hierarchical approach brings three benefits to the recording of intelligent contracts and the recording of transaction information.

1) improve the efficiency of bookkeeping. When an intelligent contract does not apply to a simple transaction, we can use the simplest layer to complete the transaction, and call the protocol layer only when there is a limit to some content of the transaction.

2) enhance the flexibility of intelligent contracts. The changes in the protocol layer and the increase or decrease in content do not affect the content of the computing layer. This makes smart contracts close to almost any job and life on the scene.

3) without the need to fork, all updates can be freely added to the protocol layer and agree to avoid the currency bifurcation caused by large-scale vulnerabilities, such as the ETA vulnerability attack in the ether workshop.

Safety

Security is the cornerstone of encrypting digital money, and the value storage capacity of digital assets is guaranteed by unbreakable algorithms.

Although the POW consensus mechanism of bitcoin is very secure, the problem of scalability and resource waste is criticized. How to solve this problem under the premise of ensuring security is the focus of many encrypted currencies. Cardano, born in the academic world, gave the answer.

1) using one of the scalability POS conformance algorithms, Ulopolos, a mathematical proof of consistency algorithm to ensure the security of the accounting, we will elaborate the comparison of the algorithms in detail later, which can be simply understood as random selection. The bookkeeper also took into account the consensus mechanism for punishing false accounts.

2) ensure the security of the programming language, using complex Haskell as the underlying language, which is different from the mainstream C language, Python and other languages, niche, security, and elite, and the development tool set ensures the participation of non Haskell skilled personnel.

3) after the first review and implementation, each update should be proved to be safe in the form of paper, and to ensure the security of the updated content through a consistent review of the academic community.

Sustainability

Most of the Shanzhai currency, such as the exception of Tezos, can not provide any adaptability for future updates. The ability to succeed in pushing forks or forks is crucial to the long-term success of any encrypted currency, and Cardano is considering building a system that we will discuss with the previous content.

1) this means that the consensus population will only increase or decrease. With the stability of the system, security and practicality will continue to improve, Cardano’s advantages will become more and more obvious.

2) the flexibility of the protocol layer will continue to increase the latest technical results, and can absorb any new ideas from the Shanzhai currency to add and improve itself.

3) reference Dash to establish community systems, public voting, and community joint funding for the development of new projects. The project has successfully responded to the community and formed an endogenous growth of self-worth.

Other functions

In addition, Caldano has also proposed its own understanding and plan to consider interoperability, cooperation with regulators, and so on. We will discuss again. This is an encrypted currency solution that has been carefully considered by a group of international scholars and ciphers. It has a strong academic atmosphere and is full of academic wisdom. This is the first time to think and explain the future of electronic money in the way of philosophy of science. Like us in this article, we are still looking forward to the next change in the world. I believe that although the road ahead is still far away, the future is expected. Because of what is really valuable, the academic world will coexist with it, which is the fate of the digital encrypted currency.

If you have a good idea, please leave a message or join us and talk to your friends.

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