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Tuesday, March 5, 2024

Binance to support Cardano smart contract upgrade and its Alonzo hard fork

The Binance platform has announced its support for the upgrade of Cardano’s smart contract functionality and the Alonzo hard fork, scheduled for the night of September 12-13. All Cardano deposits and withdrawals (ADA) will be halted during the event, however users will be able to exchange the cryptocurrency as part of transaction operations.

Action plan when upgrading

Binance, the world’s largest cryptocurrency exchange by daily trading volume, intends to support the upgrade of Cardano’s smart contracts (ADA) and its Alonzo hard fork, according to an announcement posted on the official website of Binance. On September 12, around 9:44 p.m. GMT, the exchange will suspend ADA withdrawals and deposits.

It should be noted that ADA trading will continue throughout the hard fork. This event will not result in the creation of new tokens, Binance reports. ADA users are urged to ensure that they complete deposit processing before the time of the aforementioned interruption, writes crypto-news-flash.com.

Then Binance will reopen ADA deposits and withdrawals “as soon as the upgraded network is deemed stable.” As soon as this happens, ADA holders will be notified.

Upgrading Cardano

Since the middle of the year, the third-generation blockchain project has started to gradually integrate parts of Alonzo’s updates. Ultimately, their goal was to bring smart contract functionality into the Cardano network. They would also signify a step forward compared to the Goguen era which made it possible to create decentralized applications (DApps) on the blockchain. (Also Read:Vitalik Buterin proposes to transfer NFT from Ethereum to L2 solution)

First, blockchain operators IOHK launched Alonzo Blue, which offered smart contracts to a limited number of tech insiders. Then Alonzo White and Alonzo Purple followed. In addition to the ability to create DeFi, the updates made it possible to issue ERC-20 tokens on the Cardano blockchain.

Despite all the advances, previous delays in implementing its plans are shaking investor confidence in Cardano. Some time ago, part of the crypto community bet that Cardano’s planned launch of smart contracts would never happen. It seems that these doubts are now dispelled, as ADA currently ranks third among cryptocurrencies in terms of market capitalization. Cardano has even been dubbed the “Ethereum Killer” as the project plans to have similar capabilities to the Ethereum network soon.

Learn more about ADA

We have previously reported that Cardano has partnered with Coinfirm to perform anti-money laundering related analysis. Weiss Crypto responded that this action would turn the network into a censored area and go against the whole meaning of decentralization. Cardano founder Charles Hoskinson, however, insisted the move was necessary to further the massive spread of ADA. (Read More: Solana (SOL) Price Prediction: Ripple left behind, Solana in the fast lane)

On September 7, like all cryptocurrencies, ADA saw a price drop of $ 2.3. Now the currency is trying to regain its position and at the time of writing this article is trading at $ 2.5.

Whether it’s worth buying Cardano now or waiting for the upgrade is up to you to decide, but you should carefully study the news to which cryptocurrencies are reacting before investing.

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