The Cardano network and Ada token is the third largest crypto coin by market cap. Cardano has some exciting things coming up this month. Let's talk about this potential "blue chip" coin!

https://coinmarketcap.com

Hey, everyone. No one on this podcast is a financial advisor. All information presented

on this podcast is for informational purposes only. Now that we got the legal stuff out

of the way. Let's jump on in guys, because we've got a lot to talk about this week. Welcome

to the generational wealth with cryptocurrency podcast. I'm your host McIntosh. Today we're

going to be talking about Cardano. What's Cardano? Cardano is the third highest coin

in market cap. First in market cap, you have Bitcoin was roughly $1 trillion, Ethereum,

which is a little bit under half a trillion, about 460 million. Excuse me, boy, I completely

misread that 460 billion. And Cardano is third at about 90 billion. And then you have got

all the other coins below that. I'm getting this information by the way from coinmarketcap.com.

It's a decent site for these kinds of statistics, you might want to check it out. Cardano, what's

the deal with Cardano? Cardano has got kind of a mixed history, I guess you could say.

So it was started by a gentleman named Charles Hoskins, Hoskinson, excuse me. And Hoskinson

came from, he actually, he helped start the Ethereum. Ethereum's founder was Vitalik Buterin,

and he's definitely, you know, he's recognized as the founder. And really the lead of that

project still is to this day. Hoskinson, and I apologize, I'm not saying his name properly,

but sorry, Mr. Hoskinson. He was one of the people who were involved in that part project

early on, and left after a bit, had some philosophical differences with the rest of the people with

Vitalik and left and started Cardano, started the Cardano network and ADA is the token.

So you know, it's a little bit different, you know, Bitcoin is Bitcoin network, Ethereum,

but it's Cardano, it's the Cardano network and it's the ADA token. And Charles definitely

has some different philosophies, certainly as an outsider, I've owned some ADA in the

past, I currently do not, but you know, I've never heavily been invested in it, certainly,

but he's, in my opinion, I would say he's abrasive. And, you know, but he really, he

is a smart person. There's no doubt about that. Any of these people who are leading

these projects, if that project is up and off the ground and running, and actually doing

something, I promise you that that person is smart and Charles is no exception. He's

definitely smart. And he has very fixed ideas about how he wants the ADA token and the Cardano

network to go forward. And he's implementing that. We're going to have a little news section.

I'm going to go ahead and throw that in. And it's all about Cardano. I actually didn't

even intend for that to be the case. It's just kind of the way it worked out. For one

thing coming up in just under a week on September the 12th, we have the launch of the Cardano

mainnet. And what that means is that Cardano will actually be able to be used for things,

for smart contracts, for building apps that will then be live and able to, you know, generate

money and this kind of thing. So hopefully that's a good thing. It's a, when you launch

a mainnet like this, obviously it's a big deal. Everything up to this point since 2017.

So four years roughly has been on a test network. So that's good news, certainly. But unfortunately

there's a little bit of bad news to go along with that. Just a few days ago, there was

news of a pretty, I would call it a pretty severe bug. I actually checked on it right

before recording the show. I do not believe that this has been resolved at this point.

I certainly hope that they get this resolved before the launch of the mainnet, but it's

what they call a concurrency bug. So concurrency in programming terms is when you're having

multiple entities, whether it's, you know, it could be a number of things in this case,

it would be people interacting with your application. So if you have one person, that's not concurrent.

When you have a hundred people who are trying to do some kind of financial operation or

whatever, that is, you know, that's concurrency. That's when you've got multiple things going

on at the same time. Apparently there's a bug. I don't know a whole lot about it. I

do know that, like I said, it doesn't appear at this point that they fixed it. I'll be

honest if they don't fix it before the mainnet launch, it's going to hurt their launch. They've

been talking a fairly big game and they have to back it up to be honest. Ethereum's out

there doing things, innovating, you know, some of the largest, certainly the largest

DeFi apps that are out there and DeFi means decentralized finance apps. They're running

on Ethereum, but Cardano got to step up to the plate. So if they really want to submit

this third position in the crypto universe, so to speak, you know, they want to be an

Ethereum killer. A lot of them will say that, Oh, Cardano is going to be an Ethereum killer.

They're not the only ones who say that to that. I would say, well, you know, when your

market cap is like Ethereum and when you can generate the revenues that Ethereum does,

we can start talking about that. And that's just not the case. Ethereum has, you know,

they've been around for longer than anything essentially except Bitcoin, of course. And

there's a lot of momentum behind it. In the decentralized finance world, they're the 800

pound gorilla, so to speak. I would consider Bitcoin and Ethereum to be kind of blue chip

stocks. If you ever heard that in terms of the stock market, blue chip, meaning kind

of the highest grade stocks. And Cardano is not quite there. If they prove themselves,

if this main net rollout goes out well, and they're able to start deploying smart contracts

and decentralized apps, DeFi apps, this kind of thing. Maybe we move them into that category.

There's their stock. I was just, their token value ADA has been going up a lot. And I believe

in anticipation of this main net launch, if you go back and look at the last couple months,

it's jumped quite a bit. It's dipped a little bit in the last couple of days, but it's actually

held up amazingly well considering this news about this concurrency bug. I don't know if

people don't actually understand what that means, or if they're just being bullish. And

I mean that respectfully, I mean that in a good manner, as in a bull versus a bear in

a market. And maybe they are, maybe they're just being bullish. If I were looking to invest

in ADA right now in Cardano, I personally would wait until post-launch. That may mean

that the token goes up, but the alternative is if they have problems and it doesn't go

well, the token will go down and it could go down a lot. So if I'm buying right now

at almost $3 a token, pure speculation, not financial advice, et cetera. But let's say

it drops to 70 cents and now you're a third of the price and it may not recover that for

months and it may be longer. So I think at this point, it would be prudent to wait if

you were going to be investing in ADA. Not saying that ADA is a bad investment. It is,

I would consider a, well, it's a third to Bitcoin and Ethereum. I don't want to say

it's a close third. If this main net launch goes well, if they get through these initial

issues with smart contracts and rollout of some dapps of some distributed apps, then

I'll start considering them more of a blue chip. They're not quite there yet, but they're

a lot less speculative than some of these, well, Dogecoin. And like I said, at some point

we'll probably talk about Dogecoin. It is purely a speculation token at this point.

Just I'll throw that out there. Anyways, I think I mentioned this. They launched in 2017.

The market cap is roughly $94 billion. I may have said that wrong earlier. And the token

is selling for around $3 a token. I think I said 90 billion earlier. It has actually

gone down since I took these notes a few days ago. So about $4 billion. It actually is right

around 90 billion. And just another example of how fluid these markets can be. I don't

really have anything else to say at this point about Cardano. I do think in the long-term

it's probably something, you know, it's a way to spread your investment in the long-term.

I'm not opposed to people certainly holding ADA. I do think potentially in the long-term

the Cardano network, it does have a great deal of potential. All right. Mr. Hoskinson

is a very, very smart man. No doubt about that. We will have to see how things get executed

and deployed. Like I said right now, if you don't have any, you should probably hold off

just one more week. I mean, we're only talking about five days from now. And that may mean

you lose some profits, but I am, it's funny saying this, but in the crypto world, I'm

risk averse. You know, I, I'm not, I'm not paranoid about everything, but in this case,

given the circumstances, I probably just kind of want to hold off if that makes sense. All

right, guys, this is going to be a short episode. I think maybe next week we're going to jump

right in and we're going to talk about how to buy crypto. Maybe I should have done this

a little bit earlier, but what do we have coming up next episode? It'll be how to buy

crypto talking about centralized exchanges or the distributed exchanges that are available.

I've used both of them. I've used quite a few different exchanges. It's funny. I was

talking to some friends last night about crypto stuff and they're like, well, where do you

get your crypto? And I'm like, well, um, a lot of places, a lot of places I started like

a lot of people with Coinbase. Uh, but I went on from there to quite a few other places.

I actually looked up. I couldn't remember when my first transaction was. It was in 2014

in early 2014, fairly early 2014. So it's been quite a bit. Uh, I do believe that that

was my initial transaction with Coinbase. They were already up and running and I just,

I went and signed up and bought some Bitcoin. So we'll be talking about that. I also, uh,

in episode seven, we're going to talk about hacks. We're going to talk about securing

your crypto. Well, you know, when you're getting started out, not really something, I mean,

there's things you have to do that you would be very wise to do to secure your crypto.

We'll talk about that. Uh, not really something you need to people paint it to be a big issue.

It's really not as long as you're prudent, right? Episode eight, uh, we're going to talk

about what I call dollar cost averaging because that is my preferred method of investing again.

This is an investment show where, you know, we're not talking about trading. You don't

dollar cost average to trade. I do not recommend that you trade. You can lose a lot of money

trading and you can lose a lot of money trading and lose your shirt and you can do it really

quick. So anyways, uh, that's the next couple episodes coming out. Uh, after we get done

with those and you, if you're ready to go, uh, you've got what you need to go out there

and do it. And beyond that, we're going to, we're going to talk about a lot of, a lot

of stuff, right? There's a lot more to talk about, but that'll kind of wrap up our little

initial setup. I'm not going to talk at this point about any other coins. As I said, there's

thousands of coins out there. Most of them frankly are not worth talking about. Most

of them will never, they'll never even really get out of the gate, so to speak. Um, some

of them can be very speculative, uh, long-term again, we're looking at long-term wealth.

It's not really the things that we're going to be discussing. There are some, uh, if you've

got a larger portfolio, uh, you know, if you've got more than a few thousand dollars, you

may want to consider putting some amount of that towards some of these other high, I would

say high value tokens, tokens that are actually out there doing things, uh, generating profits,

um, and certainly have future promise. And you know, they are riskier and I would always

say that, you know, kind of the least to the least risky to most risky would be, you know,

Bitcoin to Ethereum to maybe Cardano to then some of these others that we'll be talking

about like polka dot or I don't know, we'll, we'll make a list and I'm not going to be

exhaustive about them, but we'll, we'll discuss them over time and you may want to put a part

of your, your portfolio into those. I would not, unless you're, unless you're just willing

to lose all your money, I wouldn't put all your money into these more risky assets. Uh,

we've got currencies at this point that have a, you know, a 10 year track record. Uh, Ethereum

is five plus, you know, and, and so on. There's, there's stability out there. You don't need

to necessarily invest in something that's super risky to try and generate some return.

If you're looking longterm at the next 10 years, even the next five years, you're going

to see great returns out of any of these that we're talking about. So anyways, that's going

to wrap it up for this week. Hope you guys have a great week and I will look forward