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ADA is a crypto coin running on Cardano ( $0.52 ) Settlement Layer (CSL) blockchain, the first and most secure blockchain based on Proof of stake mechanism validating the transactions. Cardano ( $0.52 ) team calls their proof of stake mechanism Ouroboros. Unlike Proof of Work, where miners invest energy intensive computing power to mine each block, proof of stake chooses a random miner based on the size of the stake (value).
In order to generate or mint a new block, a slot leader is chosen with a probability proportional to the amount of coins this node is carrying. So one of ADA’s advantages over Bitcoin ( $21,447.00 ) , Ethereum ( $1,245.48 ) and other similar cryptocurrencies is its energy-efficient proof of stake transaction validation system. ADA is flexible like Ethereum ( $1,245.48 ) due to a second layer Cardano ( $0.52 ) Computational Layer (CCL) which supports decentralized applications and smart contracts.
ADA was initially created by Input Output Hong Kong (IOHK), a blockchain development firm. The project was led by Charles Hoskinson who was a former co-founder of Ethereum ( $1,245.48 ) , Etereum classic and Bitshares. Presently the ADA team consist of three organizations i.e. Cardano ( $0.52 ) foundation, IOHK, and Emurgo.
The major use of Cardano ( $0.52 ) is the transfer of value. Future development of applications on CCL layer can provide the easy and economical payment solution to service providers such as Uber, Upwork, and alike.