- Cardano is set to see more robust ecosystem functionality, scalability, and expansion with its sidechain toolkit.
- The smart contract network is also anticipating its first over-collateralized stablecoin dubbed Djed.
The Cardano blockchain protocol and its native coin, ADA is seeing an impressive start to the year with a slew of impressive protocol upgrades and products on track to be launched. One of these is the upcoming Cardano’s sidechain toolkit, and the Djed stablecoin launch, two of the anticipated events in the protocol that is projected to drive billions of dollars into its ecosystem this year and beyond.
The Cardano sidechain toolkit, as reported by Crypto-News Flash is particularly an interesting and highly anticipated innovation that is being fronted by the Input Output Hong Kong (IOG) outfit. According to a recent blog post from IOG, it noted that it has assembled a team of specialist engineers to use the rock-solid foundation of Cardano to build a toolkit for building custom sidechains.
Getting to work, IOG said the team has built the Ethereum Virtual Machine (EVM) as a Proof of Concept for the sidechain technology and it noted that all of the documentation of the new innovation will be made accessible to all developers across the board. Cardano is already fronted as one of the most functional blockchain protocols around and the sidechain toolkit is billed to make it even more robust in its offerings and capabilities.
With the sidechain, other blockchain protocols can be built that will or may not have a different consensus mechanism from the parent chain. There will be a bridge that can easily connect with the main chain, and with its design, it will front a high level of interoperability and scalability that will make it maintain a more robust competitive advantage with its peers.
The sidechain toolkit will contain the main chain Plutus scripts. As noted by IOG, “these scripts run on Cardano’s main chain, enable secure cross-chain transactions and token movement, and leverage minting policies to support the sidechain’s token.” The sidechain also contains a chain follower and a sidechain module that “interprets main-chain data and implements the necessary ledger adaptations.”
The Cardano DJED Stablecoin
One major highlight for blockchain protocols is their ability to host related innovations from their competitors and perhaps to make the accessibility better. The DJED stablecoin is branded as the most over-collateralized stablecoin and the first algorithmic token in the Cardano ecosystem.
With many months since its community has been anticipating the release of the token, the team revealed through a Twitter update over the weekend that it is still very much on track to launch the stablecoin before the end of this month.
And yes, $Djed is still on track for launching THIS month 🚀
— Djed Stablecoin (@DjedStablecoin) January 14, 2023
According to media reports, the Djed team has also secured a new partnership with DLT development startup Yepple to bolster their proposed debut.
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Cardano is currently being tagged as the most robust smart contract protocol around today, and it seems to be outpacing its peers as it regards new upgrades, implementations, and product debut. Charles Hoskinson remains vocal about the capabilities of the protocol, and its future potential.
In what appears as a positive turn for the Cardano community, the native coin ADA is up by 2.04% over the past 24 hours to $0.3508.