Acquaintance with Cardano Upgrade: Alonzo | Indodax Academy
icon search
icon search

Top Performers

Acquaintance with Cardano Upgrade: Alonzo

Home / Articles and Tutorials / judul_artikel

Acquaintance with Cardano Upgrade: Alonzo

NL IA News Blockchain scaled

Table of Contents

Maybe you already know that the ADA crypto asset has experienced a significant price increase, but, what are the factors?

Come find out in this article!

The crypto asset of the Cardano blockchain, ADA, hit a new record high last August as investors put their hopes on the upcoming Smart Contract feature which is expected to boost cryptocurrency adoption.

At the time this article was written, ADA reached a price of IDR 41,142 in 24 hours.

Many analysts have noted that the Cardano token has entered “price discovery mode.” Meanwhile, David Gokhshtein hinted that ADA might continue its hike until September 12, the day Cardano will integrate smart contract features into its blockchain via the “Alonzo” upgrade.

In detail, the Alonzo upgrade introduces a native Smart Contract development language called Plutus to the Cardano ecosystem. Plutus is readily available for testing and brings functional programming to Smart Contract creation for everyday users.

Plutus uses the original Cardano programming language, Haskell. Plutus and Haskell use the same codebase for off- and on-chain development. This means that at its core, the coding is identical so there will be no complications with programming languages ??when developing Smart Contracts. That makes contracting Plutus easier and allows testing, which will allow developers to fine-tune their products for much more intensive loads such as large institutional or government hosting.

After the Alonzo upgrade, anyone will be able to create and implement their own Smart Contract on the Cardano blockchain, paving the way for native decentralized applications (DApps).

The system update, which is expected to be fully rolled out in the third quarter of 2021, marks the end of the Shelley era at Cardano and the beginning of the Goguen phase. While no date has been set for the end of Alonzo’s hard fork, developers across the network have been hard at work on testnets and sticking to a defined roadmap with certain milestones in the form of an “era.”

Cardano Era

Cardano’s development roadmap is divided into six main stages, or “eras” as they are known, each focused on expanding network functionality.

  • Byron

Sets the base Cardano code. Allows users to exchange ADA currency, named after revolutionary programmer Ada Lovelace, and mine ADA with their proof-of-stake consensus algorithm.

  • Shelley

Focuses on decentralizing the network by setting up incentives for users to host their own nodes. The main goal of this era was to ensure that nodes, or individual computers, were run by a diverse group of network participants rather than a small, centralized group of users.

  • Goguen

Introduces smart contract capabilities to the network allowing developers to build decentralized applications on top of Cardano.

  • Basho

Improves the underlying performance of the Cardano network to be able to process more transactions and improve. This era also introduced side chains, which are a means to scale networks using multiple blockchains.

  • Voltaire

Added voting and treasury systems for self-government. Users will be able to stake their funds to influence future network development.

Cardano is now in the final stages of the Shelley era. This development phase adds a number of new features to Cardano such as a proof-of-stake protocol known as Ouroboros, incentive and delegation schemes that reward participants and better hard wallet support.

Since launching on 29 July 2020, Shelley has introduced two main hard forks: the Allegra and Mary. Allegra introduces a token locking mechanism that allows users to lock Cardano tokens in preparation for on-chain voting (which is expected to be launched in Voltaire, the last stage of development). Mary, on the other hand, introduced token support for Cardano Native Tokens (CNT). This native token is similar to Ethereum’s ERC token standard and allows users to create and deploy their own tokens on the Cardano blockchain, including Non-Fungible Tokens.

Alonzo hard forks are divided into three main color-coded phases:

  1. Alonzo Blue

  2. Alonzo White

  3. Alonzo Purple

There are also two smaller phases post-Alonzo Purple nicknamed “Alonzo Red” and “Alonzo Black.” Each phase essentially adds more users to the testnet and identifies bugs that may need to be fixed.

Alonzo Blue introduced smart contracts with around 50 technical participants, mostly stock pool (SPO) operators. Validation errors and other simple fixes are found and changed during this phase. This standard bug is expected to appear and be fixed when Alonzo undergo testing.

Alonzo White adds more features and a wider range of participants to Alonzo Blue. Hundreds of new users will be run through a kind of “boot camp exercise” that will test network capabilities. This experiment is being carried out by IOG; the main development company behind Cardano led by former Ethereum co-founder Charles Hoskinson. The company estimates this phase will last about two to four weeks.

Alonzo Purple will become a fully public testnet and join thousands of participants to the network. This particular stage is divided into two distinct phases, “light purple” and “dark purple.” The former will enable simple smart contracts, while the latter will enable more complex smart contracts.

Then comes the final Alonzo Red/Alonzo Black color phase, reserved for final bug fixes/cleans to prepare for the final hard fork release. Any future changes to the hard fork will be very difficult to make past this point, and it is therefore important that these two phases be watched very carefully.

Was this article helpful?

Rate this article

You already voted!
Related Articles

Find more articles based on your favourite topics.

INDODAX Market Signal July 31, 2023 Update
04/09/2023
INDODAX Market Signal July 31, 2023 Update

Find the latest analysis on Indodax Market Signal on July 31, 2023. Let’s learn about market trends and maximize your investment potential. Read now!

04/09/2023
Adventure Gold (AGLD) Token Now Available on INDODAX!
01/08/2023
Adventure Gold (AGLD) Token Now Available on INDODAX!

The original ERC20 Adventure Gold (AGLD) Token will officially appear on INDODAX! Don’t hesitate, let’s check it right now and get multiple benefits from this crypto asset!

01/08/2023
Rocket Pool (RPL) Coin Now Available on INDODAX!
01/08/2023
Rocket Pool (RPL) Coin Now Available on INDODAX!

Rocket Pool (RPL) Coin will be coming soon to INDODAX! Immediately check the asset info now and get multiple benefits in the following article.

01/08/2023