When it comes to smart contracts, Cardano has been at the forefront of growth. A high volume of traffic has been anticipated for the blockchain network ever since smart contracts launched. Smart contracts were one of the most anticipated upgrades on Cardano for quite some time. With the development of this technology becoming a reality, the developer has had to build new capabilities in order to accommodate the increase in traffic.
With Hydra, the network can handle an increase in traffic. Hydra is a Layer 2 solution that provides the much-needed scalability to maintain high throughput for blockchain applications. In addition, Hydra will also help regulate blockchain fee rates, thereby providing acceptable fee structures for the users. Charles Hoskinson, the creator of Cardano, has emphasized how important the solution is to the network.
Hoskinson Says Hydra Is Vital For Cardano
Charles Hoskinson organized an AMA (Ask Me Anything) session on YouTube where members of the community were able to send in questions they would like answered. It was during one of these questions that the importance of Hydra was emphasized by the founder.
By Hoskinson’s own admission, an incredible amount of work was being put into the Layer 2 solution. The capabilities that Hydra provides the network have been one of the most crucial developments by the developer. Cardano is expecting high traffic on the network and Hydra will ensure that the network is able to process the increased transactions in a timely and orderly fashion.
Hoskinson explained that the team was putting more resources into the project “because it’s such a high commercial priority.” Cardano’s DeFi community is still in its beginning stages. As the community finds its footing, traffic on the network will spike heavily. Once this happens, “Cardano is going to get hammered by an enormous amount of traffic,” said Hoskinson. “Hydra is a necessity for that.”
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Progress On ERC-20 Converter
Hoskinson updated the community on the anticipated launch of the ERC-20 Cardano converter. The founder confirmed that the Singularity net was currently in the process of migration. The converter is meant to target two main parts of the project – the Main Chain and Mamba. With the arrival of Plutus, the network has been able to begin working on the main chain and has presumably made some progress in this regard. As for Mamba, a two-way bridge is being developed for it.
“The long-term goal is automation and bridging, so it’s easy to move between and wrap assets and so forth. We view it as a nice commercial tool. When people come and they want to migrate, there’s a process, a team, and a collection of competencies there.”
Hoskison held his AMA session from Ethiopia in Africa, where he is currently touring and meeting up with projects building on the Cardano blockchain. The tour has been successful so far with numerous encouraging news coming out. Egypt will be the final touchdown for the founder, after which the tour will officially come to an end.
Originally published here
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Chris Munch is a professional cryptocurrency and blockchain writer with a background in software businesses, and has been involved in marketing within the cryptocurrency space. With a passion for innovation, Chris brings a unique and insightful perspective to the world of crypto and blockchain. Chris has a deep understanding of the economic, psychological, marketing and financial forces that drive the crypto market, and has made a number of accurate calls of major shifts in market trends. He is constantly researching and studying the latest trends and technologies, ensuring that he is always up-to-date on the latest developments in the industry. Chris’ writing is characterized by his ability to explain complex concepts in a clear and concise manner, making it accessible to a wide audience of readers.
