The process of checking whether system design and the underlying algorithms are correct and satisfy the given requirements and properties. It is based on the formal methods of mathematics and is an integral part of IOG research. The core parts of Cardano are written in Haskell.
A token that is identical to many others and can be traded is fungible. For example, one ada is the same as all others and so is fungible. Shares in a company, gold bars, and US dollars, for example, are all fungible. Cryptos are usually fungible, but there are also unique, non-fungible tokens (NFTs).
The study of logical decision-making made by players within the defined parameters of a system. Game theory provides mathematical frameworks for predicting interactions between people in a system, where they are all looking out for their best interests. Cardano uses game theory to help avoid economic attacks on the network.
Short for 'Game Finance', GameFi refers to the integration of blockchain technology and decentralized finance (DeFi) with gaming. GameFi combines the principles of cryptocurrency and blockchain with gaming, creating a new type of gaming experience that allows players to earn real-world value from their gaming activities.
In GameFi, players can earn digital ...
The fee required to execute a transaction or contract on the proof-of-work network. On Ethereum, for example, gas is paid in ether, the native cryptocurrency of Ethereum. Gas fee is determined by the network's demand and supply, and is paid to incentivize miners to process and validate transactions. Gas fees are essential to the network's efficiency and secu...
The first block in a blockchain that sets the foundation for the network. It is usually created by the network's creator and contains unique data defining the initial state of the blockchain. Unlike other blocks, a genesis block doesn't reference any previous blocks and generates the initial supply of cryptocurrency or tokens. In Cardano, the genesis block w...
A set of data that is mutable through node operations on a ledger. For example, with every transaction of an asset the database entry regarding who owns the asset changes.
There is no single decision-maker controlling Cardano's growth and development. Instead, decentralized processes empower ada holders to make suggestions and collaborate on decisions. All ada holders can suggest a change through the Cardano improvement proposal (CIP) system, or participate in Project Catalyst to vote on what changes should be made.
An irreversible change to a blockchain protocol. Cardano uses a hard fork combinator to ensure smooth upgrades. Unlike earlier blockchains, Cardano hard forks save the chain history and do not cause disruption for users.
A device that stores cryptocurrencies offline and can be connected to a computer to access the funds. Hardware wallets are secure and beneficial in terms of offline security and convenience as they can be carried around and used when needed.
Hash rate refers to the measurement of the processing power of a blockchain network, particularly in the context of proof of work (PoW) consensus algorithms. It measures the number of hash operations that a network can perform in a second.
In a PoW, miners use specialized hardware to perform complex mathematical calculations, known as hash functions, to val...
A functional programming language with a focus on producing secure code. Haskell is well suited to Cardano's high-assurance code, and the need for greater formal verification in the blockchain. Core parts of Cardano are written in Haskell and extensive testing processes ensure Plutus Core smart contracts work properly.
A cryptocurrency wallet that can be accessed online to store currencies and make transactions. A hot wallet stores a collection of private keys and needs to be connected to the internet to process cryptocurrency operations.
A family of protocols that overlay the layer 1 Cardano blockchain to process transactions off the main chain. Hydra uses the main ledger as the secure settlement layer, boosts throughput, minimizes the delay in starting to process transactions, incurs low to no costs, and greatly reduces storage requirements.
The first of several Hydra protocols, and the basis of improving Cardano's scalability. Each Hydra Head works as an off-chain mini ledger, similar but faster than the main on-chain ledger, shared between small groups of participants. Many complex protocols can be added as layers on top of Cardano.
ICO stands for 'Initial Coin Offering'. It is a form of a crowdfunding campaign utilized by cryptocurrency startups to raise capital for their projects. During an ICO, investors purchase tokens or coins in the project before it is released to the public. This allows the project to secure funds early on and incentivizes investors to contribute by offering the...
IEO stands for 'Initial Exchange Offering'. It is a type of fundraising method used by cryptocurrency startups to raise capital through a cryptocurrency exchange. In an IEO, the startup partners with an exchange that conducts the offering on behalf of the startup.
Investors participate in the IEO by purchasing the startup's tokens or coins directly from the...
Input Output Global. The new name for IOHK, the company that developed the Cardano blockchain. IOG was registered in the US state of Wyoming in 2018, along with an office in Singapore.