2 Reasons Cardano (ADA) Could Be Listed on Coinbase Before Stellar (XLM)
Out of the five digital assets Coinbase announced it had interests in listing back in mid-June, three have been listed. These are the cryptocurrencies of Ox (ZRX), Basic Attention Token (BAT) and most recently, ZCash (ZEC).
Only two remain on the list: Stellar (XLM) and Cardano (ADA). With two cryptocurrencies remaining from the list, the odds that one will be the next one listed by the exchange can be compared to the proverbial coin toss: it could go either way.
Cardano (ADA) has An Edge Over Stellar (XLM)
But for many crypto traders, Cardano seems like the digital asset most likely to get its ticker on the trading platform. The following three reasons could be why this is so.
- Similarities between XLM and XRP that has not been listed on Coinbase since January
- Cardano’s plans for a purely transparent and decentralized platform
Similarities Between XLM and XRP
The back-end protocols for both XRP and XLM are consensus protocols. Looking at the coins that have been listed on Coinbase, we find that they are all Proof-of-Work protocols including ZCash. It is with this simple observation that we can formulate the loose theory that the reason Coinbase did not list XRP was because of the type of integration involved with its ledger. The same can therefore be concluded with XLM.
Another similarity between XRP and XLM is that both the Ripple company and the Stellar foundation hold a large chunk of the coins respectively. Such ownership and/or control over a digital asset, can cause Coinbase to skip XLM for ADA that has more of its coins in circulation with traders/holders.
Cardano’s Plans for a Purely Transparent and Decentralized Platform
With the Bitcoin Cash Hash Wars not a forgotten event in the crypto-verse, the volatility associated with one or more parties having control over a mining network or its coins, can be seen as a cause for concern for many investors.
Looking at both XRP and XLM, we have the Ripple company and the Stellar foundation holding a considerable amount of coins respectively. Although the likelihood of each dumping these coins into the markets are slim, it is probably a cause for concern for many institutional clients Coinbase is trying to attract.
Cardano on the other hand, has an ADA distribution audit report available online. It clearly explains how the pre-sale of ADA was undertaken between September 2015 to January 2017. This is the type of transparency an investor looks for when looking for a coin to invest.
In terms of decentralization, we find that the Shelley project that is due for completion in 2019, will ensure that there will be proper delegation and incentives to keep the network as decentralized as possible.
In conclusion, we have seen Coinbase list ZCash (ZEC) just yesterday thus stimulating talk around the crypto-verse as to which between ADA and XLM will be next. We have then explored the case of ADA being next on Coinbase based on the key factors of decentralization, transparency, integration onto the Coinbase trading platform and the circulating supply of each asset in relation to the total supply.
Which digital asset do you believe is next on Coinbase after ZCash (ZEC)? Will it be Stellar (XLM) or Cardano (ADA)? Please let us know in the comment section below.
Disclaimer: This article is not meant to give financial advice. Any additional opinion herein is purely the author’s and does not represent the opinion of Ethereum World News or any of its other writers. Please carry out your own research before investing in any of the numerous cryptocurrencies available. Thank you.
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