Cardano hard fork will increase interoperability with Bitcoin, Ethereum and others 

Cardano hard fork will increase interoperability with Bitcoin, Ethereum and others - Can Cardano shoot past 1 in February Key ADA price catalystsThe next Cardano update is scheduled for February 14, 2023. The hard fork is said to bring new integrated functions to Plutus, the smart contracts programming language for the Cardano blockchain. This new update will bring support for ECDSA and Schnorr cryptographic signatures to make it easier for developers to build cross-chain applications.

The two cryptographic signature techniques, ECDSA and Schnorr, are used by different blockchains. Among these, the Bitcoin and Ethereum blockchains.

However, Cardano uses the Edwards-curve digital signature algorithm (EdDSA), which is fast, secure and compact. However, this signature is incompatible with ECDSA and Schnorr signatures.

The Cardano update will make it easier for developers to collaborate with other blockchains, improve interoperability and enable secure cross-chain DApp development.

ECDSA and Schnorr signatures will be supported by the brand new integrated features that Plutus will offer. Allowing programmers to create cross-chain applications easily and ensuring the highest level of security.

The entire Cardano ecosystem has been preparing for some time, with successful integration tests.

With more than 80% of the block producing nodes running the necessary new node, this technology is almost ready to be implemented on the Cardano mainnet. The upcoming change has already been communicated to exchanges and DApp developers have been interviewed to ensure compatibility. The update is scheduled for February 14, 2023.

The Cardano Community Foundation will keep the community informed of new developments ahead of the scheduled date. You can follow the Cardano CF channels for the latest information.

How will ADA react to the update?

ADA is the native token of the Cardano ecosystem. It is a reflection of the economic activities, perception, acceptance and evaluation of the Cardano ecosystem. ADA as a token is heavily influenced by fundamentals, of which the upcoming hard-fork is a part.

Cardano had its main hard-fork of Vasil in September 2022. Amid bullish expectations from investors and traders to “sell the news”, ADA collapsed instead of appreciating. A few days after the successful update it plummeted by 9,5%. The Fed news hurt it further, trading at $0,43 at the time.

There is no word on whether ADA will react positively, but the update brings many positive changes to the Cardano ecosystem.

At the moment, the market sentiment towards Cardano CIP-0049 is strongly bullish and for this reason we recommend using software like Bitcoin Revolution for trading ADA and other cryptocurrencies. The interoperability and ease of development it adds to Plutus, Cardano's smart contract programming language, is a major upgrade. Cardano is doing everything it can to preserve the long-term value and utility of its blockchain and token.