Just before the new year, Emurgo made an announcement with regards to the successful Trezor integration. It’s a big move considering that hardware wallet integration is part of what the community has been asking for, for the better part of 2018. But what stands out about this integration is that, it was done without the involvement of the IOHK. This is a big deal because it signals to Cardano (ADA)’s reduced reliance on the input of the IOHK for it to make moves. So, why is this important?
Well, the most impotant reason is that, it points to Cardano’s guaranteed continuity even after the IOHK contract comes to an end. The IOHK contract is set to come to an end in 2020. Without the ability to propagate itself forward after the IOHK contract, the Cardano project would fail. Therefore, this move makes it a safe long-term hold. It also instills confidence in the IOHK team for their ability to build a project that is not only perfect, but can also run perfectly without their direct input. There are so many projects that are heavily reliant on their founding organizations that if those teams were to fail, the projects themselves would fail miserably.
This brings us to the second point on why less reliance on the IOHK is important, and that’s security. The whole idea behind blockchain technology is security. That security comes in two ways. First, the nodes are distributed, which means that there is no single point of failure for the project. The second one is that the project is never at risk, even if any of the teams behind it fail. With less reliance on the IOHK, Cardano has achieved the latter, and will achieve the former, with the Shelley release within this quarter.
The importance of less reliance on a single team is quite evident in Ethereum Classic (ETC). Had Ethereum Classic (ETC) been heavily dependant on the ETCDEV, the project would be dead by now. But since it is a decentralized project that has multiple teams working on it, Ethereum Classic (ETC) has successfully navigated through the death of the ETCDEV, and continues to hold its value. In fact, were it not for the bear market, it would be making gains thanks to projects in the pipeline coming from the ETCLabs.
With its continity and perpetuity guaranteed, the other parameter for investors to judge Cardano are its technical capabilities and potential for adoption. On these areas, Cardano is pretty good. It is energy efficient (thanks to Ouroboros), scalable and has low transaction costs. This makes it a perfect platform blockchain for the development of decentralized applications. This could give Cardano a massive value push once bullish momentum returns. Cardano will gain a push, both from crypto FOMO and its strong utility, that is unmatched by most platfom blockchains in the market today. In a new crypto Bull Run, Cardano could easily hit new highs. It is one of the projects with lots of potential and is heavily undervalued when trading at 4 cents.