IOHK deployed the long-awaited Shelley update on the Cardano network, which opened access to the staking system. Thanks to this, users will be able to earn the ADA cryptocurrency.
The Shelley update was rolled out to the main Cardano network after five years of development and opened the way for pools of staking and delegation. Staking on Shelley involves storing a large amount of Cardano cryptocurrency, which gives users a chance to earn even more ADA coins as a reward for checking the network.
The Shelley functionality provides decentralization thanks to an advanced proof-of-Stake (PoS) algorithm – the Ouroboros Protocol, which determines who will add the next block to the Cardano blockchain.
Users can also manage a pool that allows other users to stake coins on their behalf, or delegate their coins so that someone else can implement the stake. IOHK stated that it expects to increase the number of stakes pools to 1,000-this is the number of pools that were opened during the test network. At the moment, Cardano has 444 betting pools.
Recall that on April 27, the Shelley update test network started creating blocks. The update has now been deployed to the main network. Iohk product Director Aparna Jue stated:
“This is a monumental achievement, but it does not mean that we will stand still. We look forward to deploying the Voltaire and Goguen phases, in accordance with the Cardano roadmap. This year, reliable management mechanisms will be introduced in the network and smart contracts will appear.”
IOHK CEO Charles Hoskinson noted that ” a year later, hundreds of assets and decentralized applications will be running on Cardano.”
Recall that at the beginning of the month, IOHK launched the decentralized lending system Atala PRISM, and opened funds for developers and holders of ADA.