By Alexander Grayson
Cardano and Shiba Inu are among the top altcoins that are quite popular. If you wish to know the difference between the two, keep reading.
Cardano is an independent proof-of-stake (PoS) network, while Shiba Inu is a crypto project that runs on Ethereum. They also serve different purposes, because Cardano is a platform that supports web3, while Shiba Inu is a meme cryptocurrency.
In this guide, we will dig deeper into the several differences between these crypto projects, emphasizing their strengths and weaknesses. We will also help you to choose between the two which is most suitable for you.
What Is Cardano (ADA)?
Cardano is a PoS network that is known for competing against Ethereum, the foremost PoS network. Like Ethereum, Cardano supports decentralized applications and their deployment using smart contracts.
You can use it to build dApps and deploy them, as well as participate in decentralized finance (DeFi), and the web3 ecosystem as a whole. The network competes with Ethereum because of its higher scalability, which makes it faster with lower fees.
It uses a special PoS consensus mechanism known as Ouroboros. This is the mechanism behind the network’s efficiency. It is also a network that uses a unique academic approach to growth.
Any proposed upgrade on Cardano must go through a rigorous scientific process and be peer-reviewed before implementation. The network’s founder Charles Hoskinson believes this is the best way to make the network competent, even if it makes the growth slower.
Cardano has a native token for its network known as ADA. This token ensures that the network runs smoothly. It is used to pay transaction fees, and also for staking to keep the network secure since Cardano is a PoS network.
Also read:The token also serves as the governance token, which enables holders to vote on new changes to be implemented on the network. This makes it absolutely necessary to hold some ADA if you want to use the Cardano network for anything.
There are 35 billion ADA in circulation, and a maximum supply of 37 billion tokens. There can be up to 45 billion ADA in circulation, but not more than that. All ADA are pre-mined, and don’t need to be mined like proof-of-work networks.
What Is Shiba Inu (SHIB)?
Shiba Inu is the second largest meme cryptocurrency by market capitalization. It is a meme project that runs on Ethereum, making SHIB an ERC20 token. Like Dogecoin which is the first meme coin, Shiba Inu was created with no specific use cases.
However, it still grew popular with the support of billionaire Elon Musk and other influential crypto people. Many investors have benefited from investing in SHIB over the years, and some still do till today.
However, the lack of use cases is a problem, so the team has sought to bring a few use cases and improve the project. It is therefore commonly used as a payment token for many goods and services globally.
With the launch of its Shibarium Layer 2 network, it has also become faster and more scalable, making it cheaper to use it for transactions. All these have helped to make the network more useful.
There are a total of 589 trillion SHIB in circulation, with a total supply of 589 trillion tokens as well. Although this number is no doubt huge, Shiba Inu has a burn mechanism that regularly removes some of the tokens from circulation to keep the supply down and the value up.
Which Is Better?
With all that has been said, which of these two is better? If you’re looking for a network to use for web3, Cardano is the network. However if you’re just looking for a meme token to play around with, Shiba Inu works.
ADA is also more valuable as an investment because it has many real use cases unlike SHIB. the supply is also much smaller, making it more valuable in the long run.
At Tokenhell, we help over 5,000 crypto companies amplify their content reach—and you can join them! For inquiries, reach out to us at info@tokenhell.com. Please remember, cryptocurrencies are highly volatile assets. Always conduct thorough research before making any investment decisions. Some content on this website, including posts under Crypto Cable, Sponsored Articles, and Press Releases, is provided by guest contributors or paid sponsors. The views expressed in these posts do not necessarily represent the opinions of Tokenhell. We are not responsible for the accuracy, quality, or reliability of any third-party content, advertisements, products, or banners featured on this site. For more details, please review our full terms and conditions / disclaimer.