US Crypto Infrastructure Bill Causing Cardano Bearish Market

  • Cardano Founder speaks on the current US crypto Infrastructure Bill.
  • Hoskinson blames the new US Bill for the current crypto bear.
  • He also added they will ensure that the US is a safe place to run a crypto business.

Cardano founder, Charles Hoskinson briefly speaks about some regulatory updates. Following the recent US Infrastructure Bill, Hoskinson mentioned that there was some extremely ‘bad language’ put on the bill. Due to that, there have been some movements to correct that but with the recent US crypto law, it is difficult for them to make headway.

He reveals that the U.S crypto mandate may have catastrophic consequences on the American crypto industry. As a consequence, some things are coming down the pipe. Concurrently, there are two pieces of legislation that are going to be proposed. Also, he explains that one piece of the legislation in the coming weeks is going to focus on undoing the negative damaging language that is in the Infrastructure bill.

Not only this, Hoskinson again asserted that if the crypto community can rise and demand that the adjustment is passed, that it will put the crypto space back to where it was. However, there is an open question on what to do about the broader cryptocurrency space. There are several other groups of people in the Senate who will propose a larger bill, according to him.

Additionally, he added that the time has come to take the bull by its horns and pass something specific to crypto. On that note, they will do as much as they can on their side to lobby the Congress.

He added that the industry is in a ‘slightly bad position’ because the Infrastructure bill was passed. If it is left to its own devices by 2023 when these mandates come into place, depending on how they are interpreted and what the Internal Revenue Service (IRS) does with it, it can cause catastrophic damage.

Charles Hoskinson emphasizes that the first call is to undo the damage and then get back to the baseline the crypto industry was previously.  Then, the next goal would be to push for legislative reform to restructure the way that cryptocurrency, in general, is regulated in the United States.

In conclusion, he affirmed that the world is moving on and regardless of what the U.S policy is going to be, it will not slow down or stop crypto. Rather, it will leave many Americans jobless and will also affect the next generation of the American economy. Subsequently, this will set the U.S behind significantly.

What is all the hype about the Infrastructure Bill?

From 2023, cryptocurrency exchanges will have to record transactions, and track them for the IRS. They’ll have to disclose the names, addresses, and phone numbers of their customers, and also the gross proceeds from sales, and any capital gains or losses. Similarly, businesses that receive payments of $10,000 or more in crypto must report the identity of the sender to the government.

Source: Coin Quora

Charles Hoskinson Excited in Cardano’s Roadmap for 2022

Key takeaways

  • Cardano’s founder Charles Hoskinson, says he is excited about how Cardano’s roadmap is shaping up for 2022.
  • Cardano’s roadmap is focused on scalability in its next iteration.
  • The new year holds a lot of exciting prospects for the crypto space.

According to the founder of the Cardano blockchain network, Charles Hoskinson, 2022 holds a lot of promise for the network’s ecosystem. With the year 2021 coming to an end in less than 2 months, Hoskinson has revealed that he is “loving” how the roadmap for Cardano is shaping up for 2022.

Making this known, Hoskinson asserted that there are hundreds of projects building on Cardano. The amount of activity has made the platform take on a life of its own as it has been “growing, adapting, refining, and becoming stronger.” Added to that, IOHK also has a lot of innovation in the works to make building on Cardano much more efficient. 

The price of Cardano’s native token ADA is bound to see significant appreciation in the coming year as well. 

What the Cardano Roadmap Currently Looks Like

Cardano happens to have a well-articulated roadmap which it has been following. This year, Cardano achieved a major milestone. The Alonzo hardfork combinator event which happened in September brought the deployment of smart contract capabilities to the network. 

Smart contracts capabilities on Cardano means that decentralized applications can now be built on the network. While the applications have been slow to launch, there are several under development. A recent update from SundaeSwap, one decentralized exchange (DEX) being built on Cardano, showed signs that some fireworks may soon enter the blockchain network. SundaeSwap announced that it had a breakthrough in wallet integration. The DEX completed its first transaction using Yorio Wallet’s dApp Connector feature.

Cardano now looks to enter a new phase in its roadmap, the Basho era. In this phase, the network plans to make Cardano a lot more scalable than it currently is. They are also focused on interoperability and sustainability of the network. The vision is to make even micropayments feasible on the network and make fees predictable and cheap. 

The upgrades to the Basho stage will be launched mostly in the next year. With the new era starting and delivering on promises, the price of Cardano is likely to be affected. This has been the trend in previous milestones reaching moments for the proof-of-stake network. Recall that the run-up to the launch of Alonzo saw the price of Cardano’s native token ADA reach a new high of around $3.

ADAUSD Chart By TradingView

Cardano consolidation phase to end with explosive 100% price move

  • Historically Cardano’s consolidation phases have lasted from 4 to 8 weeks and ended in a 100 to 160% rally in ADA price. 
  • Majority of Cardano is held by retail traders, making it more decentralized than most other altcoins. 
  • Cardano lost its position as the fifth-largest cryptocurrency by market capitalization to Solana, dropping out of the top 5. 
  • Analysts expect ADA’s rising adoption and utility to fuel the altcoin’s recovery from the consolidation phase. 

Analysts expect Cardano to recover from the drop in price as the consolidation phase in ADA price trend comes to an end. Historically, ADA price has posted a massive rally at the end of most consolidation phases. 

Cardano price on track for 100% price rally

Cardano price has dropped consistently over the past two weeks. Solana, Cardano’s key competitor, flipped ADA in market capitalization. Cardano has now dropped out of the top five cryptocurrencies by market cap. 

Despite news of Cardano’s recent partnerships and a rise in the number of projects building in the ADA ecosystem, the altcoin’s price has plummeted. Analysts have noted that this is a trend, and nearly each time, the Ethereum-killer has posted 100% to 160%. ADA price target could be $4-$5 based on the historical trend in the ongoing rally. 

@cryptobadger, a cryptocurrency analyst, believes that, 

…long consolidation phases are in fact very typical for ADA. As you can see on the chart below, we had similar patterns around November-December 2020, again in January 2021 and then from late February to late April. Each of these consolidation phases was between 4 and 8 weeks longs.

Since the successful implementation of the Alonzo hard fork, Cardano has powered projects in decentralized finance. Top projects SundaeSwap (decentralized exchange), DeFi protocol Meld and browser extensions for decentralized applications, like Yoroi, have fueled ADA’s adoption and rising on-chain activity. 

Souce: FX Street

Cardano’s layer 2 solution Hydra is imminent as ADA on-chain activity explodes

  • Cardano crossed 2 million wallets, a key milestone for the Ethereum-killer.
  • Founder Charles Hoskinson states that layer-2 solution (Hydra) is necessary for growing traffic on the ADA network. 
  • Institutional investment flows in ADA hit $5 million over the past week, signaling a rise in demand for Cardano. 

Cardano’s native token ADA’s utility is likely to increase with a spike in daily active wallet users and transactions in the network. Charles Hoskinson stresses the importance of “Hydra,” Cardano’s layer-2 solution. 

Cardano prepares for scaling solution Hydra 

Cardano’s Alonzo upgrade added smart contracts capability to the Ethereum-killer network. Developers behind Cardano anticipated a spike in traffic on the network since the launch of smart contracts. 

In September 2021, Cardano discussed adding a layer-2 solution, Hydra, to boost the ADA network’s scalability. High transaction fees have plagued the Ethereum network for a long time, driving developers and users to Cardano. Hydra is expected to regulate the fee rate on the Cardano blockchain and tackle the menace of high fees. 

Charles Hoskinson, the Founder of Cardano, explains that it has become a high priority to pour more resources into Hydra. Once Cardano’s DeFi community directs higher volume transactions to the network, Hoskinson says, 

Cardano is going to get hammered by an enormous amount of traffic. Hydra is a necessity for that.

Proponents argue that Cardano is living up to its reputation as an Ethereum-killer. The altcoin announced earlier today that it had crossed 2 million wallets, a key milestone. 

Number of Cardano wallets

The increasing capital inflow from institutions fuels the rise in demand for Cardano. In the last week of October 2021, Cardano funds noted an inflow of $5 million from institutional investors. 

72% of Cardano’s circulating supply is staked. The percentage of supply staked has been on the rise since the successful implementation of the Alonzo hard fork. An increase in staked supply reduces the circulation of ADA tokens, fueling the Cardano price rally. 

Source: FXStreet

Watch Out For Cardano (ADA) in 2022!

Cardano seems to be unstoppable surpassing $2.00, and the outlook for 2022 looks optimistic for ADA holders.

The overall price action in the cryptocurrency market during 2021 has been an extension of the bull-run witnessed over the last months of 2020. Cardano (ADA) has since picked up a strong bullish momentum and managed to steal the show among the altcoins sphere, setting its tone as a real competitor among the majors.

Nowadays, according to Coinmarketcap, ADA exchanges hands at $2.22, with a market capitalization of around $72.90 billion, standing in fourth place in the ranking of the largest cryptos by market cap.

Additionally, the project founded by Charles Hoskinson has seen some improvements on the blockchain that bolstered the confidence among the virtual currency during the first few months of the year. Most recently, in September, Cardano deployed its Alonzo hard fork.

Now, after cracking the $2.00 threshold and consolidating its yearly gains, crypto traders are eyeing next year’s forecasts. AI-based forecast models like WalletInvestors are predicting ADA to reach $4.587 as of press time as a yearly projection, while its five-year forecast says that Cardano’s coin could skyrocket to $14.05.

So, what will be the future of the price after the ongoing consolidation around $2.00 in 2022?

ADA Technical Analysis for 2022

As the year-end period looms and Bitcoin (BTC) is finally breaking through the price of $60,000, which is the latest critical hurdle ahead of its all-time highs, ADA has been trapped in some sort of rangebound that has not been resolved since the lows seen during September 21 at $1.90.

As a contraction has been developed across the board, the 200-period simple moving average (SMA) at the H4 chart is capping gains and limiting any further advance of ADA above $2.40.

Cardano ADA Price Analysis

That said, bulls need to breach such an area in order to allow a golden crossover of the 50-period simple moving average with the 200 SMA and thus bolstering the bullish case. A golden crossover in the H4 chart is significant in the crypto markets, given that it is a solid signal that could unleash a bullish force that can strengthen it further. If that is the case, ADA could prepare the ground for a bullish 2022 that could take it to test levels of around $5.00.

In fact, another forecast model, LongForecast, put the price of ADA at Q4 of 2022 at around $3.24, which is the average price that Cardano’s coin could aim for in a possible bull-run.

Source: FinanceMagnates

Best Places to Buy Cardano (ADA)

Cardano is one of the hottest cryptocurrencies on the market, so where’s the best place to buy it?

You’ve been following the cryptocurrency boom and want to get involved. After doing a bit of research, you’ve decided Cardano (ADA) is the right coin for you.

It’s a good choice. The coin is more energy-efficient than Bitcoin, offers lightning-fast transactions, has cheap fees, and can be staked for a passive income.

The next question, therefore, is where can you buy Cardano? Keep reading to discover how to purchase ADA and start your investing journey.

1. Binance

Screenshot of a page on Binance

Binance is the most well-known cryptocurrency exchange in the world. Founded by Changpeng Zhao in 2017, it now has tens of millions of users around the world.

The main Binance website is available almost everywhere in the world, with the notable exception of the US.

If you live in the US, you need to use Binance’s dedicated portal: Binance.US. ADA is available to buy on Binance.US, but the service is lacking some of the features of the main app—including fewer coins available to buy and no margin trading.

Other features on Binance include staking (the ability to earn interest on the crypto you own), pooled mining access, and access to the Binance Launchpool for newly released coins.

The standard fee to buy Cardano on both Binance platforms is 0.1%. Both Binance platforms allow you to withdraw your ADA and keep it in a hardware wallet.

2. Coinbase

Screenshot of a page on Coinbase

Coinbase is perhaps the most beginner-friendly cryptocurrency exchange. Unlike Binance, it does not focus on trading—so you won’t be overwhelmed with price charts and other data that newbies cannot understand.

Instead, you just need to enter your card details, pick the coin you want, and buy it.

Aside from the ability to buy Cardano, Coinbase has some other noteworthy features. For example, you can apply for a Coinbase credit card that will pay you cashback in crypto when you spend on it. Moreover, you can borrow money using your crypto as collateral, and you can even get paid in crypto for taking Coinbase’s educational courses.

The biggest downside of Coinbase is the fees. You can expect to pay 4% when making an ADA purchase using your credit or debit card, while the trading fee when swapping between cryptocurrencies is around 0.5%.

A second downside is the severely limited number of coins available. While the list has grown substantially in the last couple of years (there are now more than 50 available), the number still lags way behind dedicated crypto exchanges. As your commitment to crypto grows, and you want to diversify your assets further, you might find that you need to migrate to a more substantial platform.

3. Gemini

Screenshot of a page on Gemini

Owned and operated by Tyler and Cameron Winklevoss (the twins who famously sparred with Mark Zuckerberg over the legalities concerning the creation of Facebook), the Gemini platform offers one of the best ways to buy Cardano for anyone based in the US.

The service appeals to both beginners and experienced crypto users thanks to its option to either use a simple click-to-buy approach or use a full-featured trading portal.

Like Coinbase, Gemini offers a credit card that you can use to get money back. At the time of writing, you can get 3% cashback on all purchases and can earn rewards in Bitcoin (or any other cryptocurrency) via the Gemini web app.

Gemini also offers a service called Gemini Pay. It works in much the same way as Google Pay and Apple pay, allowing you to spend your crypto easily in regular retail stores around the country. More than 30,000 shops in the US currently support the feature.

Fees on Gemini include a 0.5% “convenience fee” and up to 1.49% for transactions.

4. Kraken

Screenshot of a page on Kraken

Kraken is a well-established crypto exchange that recently passed its 10th birthday. It is also considered to be one of the most secure exchanges and is one of only two with a perfect rating on the independent Crypto Exchange Ranks (CER) review site (the other being a relative minnow, Whitebit).

Using Kraken to buy Cardano is a blessing and curse, depending on which approach you use. For experts, the full-featured crypto exchange offers some of the most competitive fees you will find. For newcomers, however, who might only want to use the Instant Buy function, the costs are much higher.

You can expect to pay around 2% when using Instant Buy, meaning that if you are in the US, the 0.5% fee on Binance.US is a much more attractive way to buy ADA.

Like Binance, Kraken restricts access to some features to anyone in the US. Those restrictions include staking and margin trading (unless you have a high-value account).

5. Bitfinex

Screenshot of a page on Bitfinex

If you are not based in the US and are already knowledgeable about crypto, Bitfinex is a great place to purchase ADA. Sadly, no one in the US can use the app.

You need the existing knowledge because Bitfinex does not support purchases with your credit or debit card. Instead, you have to transfer existing crypto onto the platform from another service to be able to start using it. As such, it is not suitable for complete beginners.

However, if you already have crypto that you can transfer over, you can enjoy access to hundreds of coins (including many small-cap coins that are not available on Binance). You can also benefit from margin trading, staking, lending, and borrowing.

Fees on Bitfinex start at 0.1% for transactions of all sizes. If you hold the LEO coin, you can enjoy a 25% discount.

Plenty of Places to Buy Cardano

So, there you have it—we’ve now revealed our five favorite places to buy Cardano. While features will vary depending on where you live, the choices in this article should cover you in most corners of the world.

Cryptocurrency’s boom isn’t going away anytime soon, and Cardano’s energy-efficient approach means that its fanbase probably won’t disappear either. Give each of these apps a try to see which works best for you.

Source: MakeUseOf

Japan ADA Investors Come Under Fire For $6 Million In Underreported Taxes

Cardano investors in Japan have come under scrutiny after authorities reported that investors in the asset had underreported their taxes from their trading activities. It was reported that multiple cities in the country had seen profits from trading in Cardano’s native token ADA but had not reported the earnings made from investing in the digital asset.

Authorities are now beginning to strengthen taxation laws around cryptocurrencies given that citizens have taken to using digital assets as a way to evade tax liabilities. Japanese citizens are investing more in cryptocurrencies and avoid paying taxes on them due to their legality being yet to be determined.

Cardano Investors Cutting Corners

report from Japanese publication Nikkei revealed that tax authorities had carried out a simultaneous audit of a number of regions in the country. The large-scale tax audit uncovered 1.6 billion yen in under-reported taxes from profit from digital assets. $12.6 million in missing taxes were identified to be from dozens of people who had not reported their earnings from digital currencies.

Cardano price chart from TradingView.com

The report also showed that the tax evasion techniques were not limited to individual investors alone. Companies had also taken advantage of these “tax-saving measures” by investing in cryptocurrencies. Of these cryptocurrencies investors had chosen, Cardano ranked as the top choice for investors. According to the report, about half of the missing taxes, $6 million, were attributed to profits made from investors who had bought ADA.

Japanese tax authorities are carrying out investigations on proper ways to acquire tax information to enable them to process the taxes due from crypto investors. It has although brought to light how important it is for there to be legal clarifications surrounding cryptos as they are still a legal grey area in the country.

Getting Listed In Japan And Subsequent Rally

It is important to note that up until two months ago, Japanese investors could not directly access Cardano in their country. This is because the country’s rules for listing cryptocurrencies on exchanges are quite stringent. So investors had to rely on overseas exchanges like Binance in order to gain access to the digital asset. ADA had finally been listed in Japan after five years since the asset was created and Japanese investors could now directly buy and sell the cryptocurrency on their native exchanges.

At the time of the listing, ADA was still trading low around $1.2. The months following the listing had then seen the price of the digital asset rally. ADA had then grown about 200% from the time of listing to its peak at the start of September, and the $6 million in underreported taxes from Japanese investors were said to be mostly from the bull rally that occurred about a month after the listing.

Tax authorities continue to monitor trading activities in Cardano, known as “Japanese Ethereum”, in the country. Audits have been carried out in six assets so far, but authorities are paying more attention to ADA given the volume of underreported taxes from its investors.

Source:NewsBTC

Cardano is 45% cheaper than world’s largest altcoin, according to Grayscale

  • Cardano has over 2.8 million active users, up 7.3 times since the beginning of 2021. 
  • The valuation of Cardano per monthly active user, as per Grayscale, ADA is nearly 45% cheaper than its rival Ethereum. 
  • Analysts expect Cardano to exhibit greater volatility than Bitcoin and other risk-on assets during market cycles, attracting more traders to ADA. 

Next-generation internet platform Cardano poses tough competition to Ethereum with its smart contract functionality, attracting exciting DeFi projects and applications to its blockchain. 

Third largest cryptocurrency ADA is 45% cheaper than ETH based on user fundamentals

Grayscale, a leader in cryptocurrency asset management, recently published a report on Cardano. The asset management firm has evaluated the Web 3.0 crypto network.

The Cardano network is currently processing over 115,000 transactions per day, up over 13 times since the beginning of 2021. 

The early ecosystem projects on Cardano have attracted several applications to the blockchain. 

A feature of Cardano that differentiates it from top competitors like Ethereum is that the network allows users to send multiple asset types within the same transaction. This feature is expected to attract more decentralized applications projects to the network. 

The altcoin’s transaction count has increased despite the price rise.

ADA price v. transaction count.
ADA price v. transaction count.

The asset management firm valued the altcoin in terms of active users per month and revealed that Cardano is currently nearly 45% cheaper than Ethereum. 

Though the rollout of decentralized applications (dApps) on Cardano mainnet is still in its early stages, there is an ecosystem of projects testing their smart contract capabilities on the Ethereum-killer’s blockchain. 

Besides, Cardano’s monthly active wallet address count exceeds Ethereum, fueling the narrative that ADA is ready to take over the largest altcoin by market capitalization. 

Cardano & Ethereum monthly active addresses.

Cardano & Ethereum monthly active addresses. 

Grayscale analysts expect that ADA would display higher volatility than Bitcoin and most other altcoins in the long term. 

Proponents consider that the rise of use cases and projects on the Cardano network is likely to increase network usage and support value rotation into ADA. 

Analysts have evaluated the ADA price trend and expect the altcoin to rally past $2.64. Analysts expect a transition in ADA price trend on October 5. 

Incoming Hydra Upgrade Will Bring Scalability To Cardano Blockchain.

  • Cardano, having launched Alonzo, now aims to deploy Hydra.
  • Hydra is a layer 2 scaling solution that will make the real-world application of Cardano possible.
  • Development of Hydra to be discussed during Cardano Summit 2021.

There are quite a number of exciting developments happening in the Cardano network. The Alonzo upgrade that happened recently was a significant milestone in the Cardano journey. With it, the network can deploy base-level scripting capability for smart contracts that will, in turn, enable further innovation and network development. 

Having achieved this feat, the next milestone the network is aiming to reach is the deployment of Hydra, a key layer-2 solution to further improve Cardano’s scalability by layering a new protocol on top of the existing layer 1 blockchain. According to Charles Hoskinson, Hydra is already in development on the Alonzo hard fork. 

In an explanatory video, David Orr of IOHK asserts that while Cardano can and does change transaction fees to balance costs, it cannot keep transaction costs low enough for micro-payments to be feasible with just its base layer. He notes that Cardano cannot also handle storage problems that will arise from the growing storage of transaction history, on just its layer 1. Hence the necessity for Hydra.

With Hydra, the network aims to maximize throughput and minimize latency while incurring low to no costs, and greatly reducing storage requirements. It will do this by providing a more efficient means of processing transactions off-chain for a set of users while using the main-chain ledger as the secure settlement layer. This will also ensure that Hydra keeps security guarantees while remaining loosely coupled to the main chain. 

While many speculate that the deployment of Hydra will see the blockchain reach a throughput of millions of transactions per second, the developers at IOHK have stated that the figures are just aspirational targets and may not be the actual figures.

“Terms like ‘one million TPS (transactions per second)’ have been used before. It is a bold number, and while this remains as an aspirational target, the ultimate goal of any system is the flexibility to grow capability with demand.” 

However, they remain optimistic that the addition of an increasing number of Hydra on the network will improve user experience on the entire network.

“In principle, by adding increasing numbers of Hydra heads to the system, arbitrarily high throughput can be achieved by the system as a whole.”

Currently, the development team is focused on building the hydra-node and the Hydra Head protocol until it becomes “a solid and stable foundation for the community (and us!) to build real-world applications.” It is expected that Hydra development will also be a key subject of discussion at the Cardano summit 2021 taking place between September 25 and 26.

Source: ZCrypto

Cardano’s Alonzo Mainnet Is Now Live!

Cardano’s Alonzo mainnet launch is now live! This is indeed a huge milestone for the project. CEO Charles Hoskinson says that this is the beginning of a New Era for Cardano. This much-awaited launch is highly anticipated by the whole crypto community.  

Cardano’s future success is the possibility of market cap going up. Presently, ADA’s market cap is over $83 billion. One analyst expects the crypto to hit $500 billion in market cap. This will only further boost Cardano’s standing in the crypto space. 

Alonzo will bring with it smart contract functionality. With this, we may see a boom in DApps, NFTs, blockchain games, and DeFi on Cardano. Many projects will eventually flock towards Cardano and its growing network.

At the moment, Cardano is going through its Goguen Era. After this, there is the Basho Era and finally the Voltaire Era. By the time Voltaire is complete, it will be Cardano’s community that will run the show. ADA holders will have the power of governance and can influence what happens next on the network.  

Therefore, we can be certain that the Alonzo mainnet launch is only just the beginning. The project still has many adjacent projects and phases to complete before it hits its last Era — Voltaire. It will be incredible to see where the project will go next from here. Perhaps we will soon hear more concrete updates from the upcoming Cardano Summit 2021.

In their latest blog post, the IOHK says that the summit’s sessions have been finalized. The blog confirms over 100 sessions with over 40 hours of content. It seems the 2 days of the summit will be packed with action. All in all, the IOHK is ready to celebrate this day.