- Charles Hoskinson recently revealed that they have reached out to officials from El Salvador regarding a state-level partnership.
- Hoskinson said that the paperwork is finished and they are waiting for a response.
- Cardano enables developers to build a wide range of applications on top of it while using the PoS mechanism.
A couple of weeks ago, El Salvador voted Bitcoin in as legal tender, alongside the quaint dollar, which has been the country’s legal tender since 2001. While the announcement was particularly auspicious for Bitcoin, it was also promising for the entire crypto industry.
In its essence, it can be argued that El Salvador preferred Bitcoin amongst a list of ever-increasing cryptocurrencies for these three prevailing reasons:
- Bitcoin is the leading cryptocurrency, predominantly accounting for more than half of the entire crypto market capitalization.
- Bitcoin is extremely secure and almost impossible to get hacked.
- Bitcoin is scarce, and that is why it is commonly treated as an asset rather than what it was originally created for: a payment system.
However, Bitcoin does have specific deficiencies when compared to more modern blockchains like Ethereum and Cardano. For one, the two latter extend beyond being merely a scarce asset that will appreciate over time — they offer real-world use cases.
For instance, Cardano, as Hoskinson labels it the “Swiss army knife of protocols,” is a platform that enables people to build a wide range of applications on top of it. In contrast to Bitcoin and Ethereum, Cardano uses the proof of stake (PoS) mechanism to mine new blocks and verify transactions, making it energy-efficient.
Cardano Gets in Touch With El Salvador
In a surprise AMA, Cardano’s founder Charles Hoskinson revealed that they have reached out to officials from El Salvador regarding a state-level partnership. Hoskinson said they have been communicating with parties and officials from El Salvador, and he might do a visit soon.
Cardano’s founder further added that they have already submitted the paperwork, and it would be a matter of weeks until they get a convincing response. He stated:
We sent out all the documentation and requests for that, so we’ll meet the President. But it’s basically going to be in their hands.
Hoskinson also asserted that relevant officials have expressed interest and that they do not want to restrict their country to Bitcoin. “We have talked to a few people that are in that orbit and they have definitely expressed interest in digitizing the country and going beyond just legalizing Bitcoin. So, we’ll get a better sense probably the next two or four weeks,” he said.