- Astar Network, a leading smart contract chain in the Polkadot ecosystem, has introduced Astar zkEVM testnet, a Layer 2 scaling solution aimed at enhancing Ethereum’s functionality while ensuring high levels of security, privacy, and scalability.
- The new testnet, named zKatana, offers developers a sandbox to test and validate their web3 strategies, ensuring compatibility and efficiency before deployment.
The Cardano community is presently witnessing transformative changes following the Cardano Foundation’s critical update to its staking parameters. After extensive deliberations and a Stake Pool Operator (SPO) poll, the Parameters Committee has decided to modify the network to improve its competitiveness and user experience.
Important Network Update
The Cardano Foundation announced through X (formerly known as Twitter) that it had submitted a transaction on the Cardano mainnet to lower the minPoolCost parameter from 340 to 170 ADA. This change is a result of careful evaluation by the Parameters Committee following an SPO poll.
Astar zkEVM Testnet is now live.@AstarNetwork's ZK powered L2 chain – created with Polygon CDK – helps businesses implement web3 strategies while guaranteeing security, privacy, and scalability.https://t.co/HkIcQfhQyC
— Polygon Devs 📍 DevX Global Tour (@0xPolygonDevs) October 23, 2023
The community has welcomed this development with both anticipation and strategic planning. Stake with Pride, a Cardano staking pool, is already aligning its policies with the new parameters. They have committed to reducing their minPoolCost to 170 permanently and their Margin to 0% temporarily as the market adjusts to these changes.
Understanding the minPoolCost Parameter
Introduced with the Shelley launch in 2020, the minPoolCost parameter serves two main purposes: defending against Sybil attacks and ensuring a baseline income for pool operators to sustain their operations. The strategic reduction of the minPoolCost parameter allows pool operators to reduce their floor income, potentially leading to a more equitable environment, especially for smaller pool operators.
Cardano (ADA) Price and Market Dynamics
At the time of writing, ADA is experiencing an upswing, trading at $0.282, a 6.5% increase in the past 24 hours. The cryptocurrency has broken out of its 6-month downtrend, showing signs of potential further growth. With the price already stabilizing above the 0.236 Fibonacci retracement level at $0.277, a daily close above this level could signal a bullish turn for ADA.
The next significant resistance for ADA is the 200-day exponential moving average (EMA) at $0.299. A breach of this level could firmly establish ADA in bullish territory. However, it’s worth noting that ADA has underperformed compared to other altcoins this year. Whether this update and potential price rally can change ADA’s standing among traders’ preferences remains to be seen.
Connect with Collin Brown on X (Twitter) for valuable market insights, frequent updates, and a touch of humor!