Blockchain platform Cardano has highlighted some key parameters for its ecosystem as it draws closer to the launch of the long-awaited Shelley Mainnet. Cardano has been busy with key developments for the mainnet and the launch of its incentivized testnet has proven to be a success.
However, there were still concerns within its community on how the blockchain intends to achieve decentralization while improving its other core features. These concerns have been addressed in a detailed blog post by IOHK, the research body behind Cardano blockchain.
In the post, IOHK identified that setting solid parameter values would be key for maintaining flexibility and scalability of the platform. Cardano currently has about 20 parameters which help guarantee the safety and performance of the blockchain network.
The blockchain platform is looking to achieve a balance between decentralization, scalability and sustainability of its ecosystem. This, according to the post, can be achieved by considering different factors ranging from Economic viability, Sustainability and performance to achieve a common goal.
Cardano To Develop Key Parameters In Accordance To Its Ecosystem Goals
Cardano highlighted three major goals for its ecosystem which are:
Decentralization to maintain the integrity of its blockchain, incentivization of stake pool operators and stability of future updates within its ecosystem to mitigate negative effects on stake pool operators income.
With these goals in mind, Cardano intends to begin the launch of Shelley Mainnet with 150 stake pool operators which is the minimum target to achieve decentralization. This would then be expanded as the blockchain passes through different phases.
Cardano also aims to adjust its monetary parameters with the blockchain platform proposing that 5% of the percentage of rewards from stakepool holders be sent to its treasury. It is anticipated that within the period of five years, about 380,000,000 ADA would be sent to its treasury ensuring economic balance within its ecosystem.
Cardano have also researched on the operational costs for stake pool holders on its platform and is keen on ensuring sustainable costs. According to the post, stake pool owners could face around $2000 to $15,000 per annum on operational costs which are significantly less than most projects in the top 10.
While the platform anticipates that pool operators would be able to make a consistent ROI of 6%, Cardano continues to be one of the leading blockchain platforms within the crypto space and the launch of Shelley could see it challenge Ethereum as the top altcoin.