IOG (Input Output Global), the company behind the Cardano (ADA) blockchain network, has unveiled a new toolkit to build custom sidechains. The new toolkit will be released at the end of January 2023. Along with the announcement, the team also released the technical documentation for the tool box.
IOG developers demonstrated the toolkit by building a sidechain public testnet compatible with the Ethereum Virtual Machine (EVM). The performance was a proof of concept. After the audit, anyone can launch decentralized applications, develop smart contracts, and transfer tokens across test chains.
In addition to additional capabilities tailored to applications, the toolkit allows sidechain developers to select their consensus algorithm. A bridge connects Cardano’s main chain to the side chain and allows asset transfers between the chains. A consensus process that depends on the security of the main chain determines the finality of blocks.
The company hopes the toolkit will drive greater adoption of the Cardano (ADA) network. In addition, IOG has already built a more basic EVM-compatible sidechain to start the sidechain development process in July 2022
According to the roadmap, the protocol will soon feature parallel accounting styles alongside sidechain enhancements as part of the “Basho phase” to improve interoperability in the Cardano ecosystem.
Does Cardano outperform others?
Cardano (ADA) is currently the best performing crypto in the 7-day charts, in the top 10 projects. At the time of writing, ADA was trading at $0.330074, up 22.5% on the 7-day charts.
While the reveal of the toolkit may not have directly played a role in the latest rally, the news certainly got fans excited. The general crypto markets have entered the new year positively. In addition, lower-than-expected inflation in December has revived investor sentiment. The global crypto market cap once again crossed the $900 billion mark, reaching $945 billion.
In addition, Cardano has done a great job of moving away from many of the disasters that have occurred in the industry. For the fans and investors, this brings an extra layer of trust to the network.