On Wednesday, Cardano’s CEO Charles Hoskinson announced that the Mary Hard Fork is set to commence on the 1st of March, helping Cardano transition from a single asset ledger to a multi-asset ledger.
The Mary Hard Fork aims to increase the number of Cardano-native user-defined tokens on offer, with the multi-asset ledger allowing users to “create user-defined tokens” which can be interchanged and transacted directly with the Cardano network — similar to the current ADA token.
Steve Wagentrop, Cardano’s head of technical operations told ACCOINTING.com:
“The Mary Hard fork will introduce a multi-asset ledger, which allows our users to create user-defined tokens which can be interchanged and transacted with the Cardano network. This is similar to ADA however, the new user-defined tokens have a unique burning feature.”
Coin burning or destroying means removing a certain number of coins supplied. This is similar to Ethereum’s EIP 1559 proposal which uses the destruction or burning of coins as a deflationary mechanism as a means to tighten supply.
The Mary Hard Fork is part of the Goguen roll-out and is considered one of the most important updates undertaken since the launch and conclusion of Shelley. Goguen is focused on smart contract optimization and integration.
Through Goguen, the decentralized core established via the Shelley phase, adds the ability for decentralized applications (DApps) to be built upon the existing Cardano foundation.
Two key developments include Plutus, Cardano’s own smart contract platform, and Marlowe, a new language for modeling financial instruments. The Goguen phase is currently in the process of being rolled out.
Mary Hard Fork Price Effect
Initially, the first information regarding the Mary Hard Fork was first revealed on the 17th of February. Since then, the price of ADA has been on the uptrend, with trading volume (OBV) increasing during the period as the RSI has increased to overbought levels, indicating greed buying.
What this means for users
For many, the most interesting proposition behind the Mary hard fork is the opportunity provided by the multi-asset ledger feature. As the multi-asset ledger feature allows users to create and develop their own tokens native to Cardano, financially underserved communities may be the first to benefit. Tokens could be created for all purposes and used by locals to buy and sell goods and services, without having to seek traditional third-party support.
This ability to assist financially underserved communities could also take the form of NFT’s, allowing local artists, developers, etc. to market their products to a wider audience. Additionally, the native tokens could be pegged to stablecoins such as USDT, allowing locals in countries like Venezuela to bypass the troubles of hyperinflation.
Cardano has already been working on improving the lives of people in such communities, having an enterprise blockchain framework in Ethiopia called Atala. Whatever the use case may be, the Mary hard fork opens up a host of opportunities for users to monetize their work or to have a stable-currency payment option at their disposal.