ADA Builder Presents Five-Year Roadmap: Big Moves Ahead for Cardano Blockchain

• Input Output Global has plotted a 9-year roadmap to enhance Cardano.
• The planned developmental work might aid ADA price resilience in the long term.

With a recent development, Cardano (ADA), the blockchain known for its high speed and flexibility, is making big moves for its future. Cardano’s research and development firm, Input-Output Global (IOG), has presented an ambitious Strategic Research Agenda with a five-year roadmap.

Input Output’s Strategic Research Agenda

Input Output revealed in a recent X post that the research agenda will span nine thematic focus areas. These include enabling seamless interchain communication, scaling the Ouroboros protocol stack, and building a next-level identity and credential layer. The research said the nine focus areas address some of blockchain’s most pressing challenges and opportunities.

To deliver on the full promise of blockchain, Input | Output Research is advancing a Strategic Research Agenda through 9 thematic focus areas.

From scaling the Ouroboros protocol stack, to building a next-level identity and credential layer, and enabling seamless interchain… pic.twitter.com/RVzFEmOels

— Input Output (@InputOutputHK) December 18, 2024

IOG highlighted the nine focus areas in a short video attached to the X post. This order lists the world’s operating system, Ouroboros Omega, Tokenomicon, Global Identity, Democracy 4.0, the internet Hydra, Interchains, Core Zero-knowledge capabilities, and the post-quantum landscape. The research firm intends to address all challenges in these focus areas by 2033.

The first highlighted focus area, “the world’s operating system,” aims to improve Cardano’s ability to produce smart contracts effectively and securely. This is in addition to creating infrastructure to enable more services.

Secondly, as the Cardano ecosystem expands, Ouroboros requires enhancements to accommodate higher transaction throughput and processing demands. 

Thirdly, Tokenomicon is a robust layer-1 that offers economic stability and growth, supporting services with diverse, predictable, and fair pricing. Tokenomics, despite its importance, has received little attention in blockchain research. 

Furthermore, Global identity highlights important priority areas like integrating the next-level identity into Cardano’s fundamental features, such as transactions, smart contracts, and governance. Meanwhile, Democracy 4.0 will ensure sound decision-making and system governance, guaranteeing voting rights and incentivizing stakeholders for their contributions.

The sixth focus area prioritizes improvements on the Hydra protocol, a layer-2 scaling solution for Cardano. Hydra greatly improves Cardano’s scalability by enabling faster transaction processing at lower costs and latency. These characteristics make it a perfect fit for high-throughput applications like gaming and supply chains. 

Interchains, Zero-Knowledge Capabilities, and Quantum Development

As blockchain ecosystems evolve, Cardano is focused on interchain development. Interchains are secure bridges that enable seamless communication of dApps across interconnected blockchain networks. Cardano’s support for layer-1 and layer-2 cross-chain dApps may make it a favored choice for developers and organizations that want a secure and efficient multi-chain environment.

Furthermore, Cardano will position itself as a leader in privacy preservation and secure transactions by focusing on pluggable Zero-knowledge (ZK) tools. Finally, improvements targeting scalability and reducing computational demands will strengthen Cardano’s infrastructure with flexible and secure cryptographic solutions.

Many market participants have praised IO for addressing these challenges to advance blockchain technology. Some are now looking forward to the future innovations from the research and impact on ADA.

Currently, Cardano’s native coin, ADA, trades at $0.979, down by 5.37% in the last 24 hours. However, the daily trading volume increased by 26% to $2.16 billion, suggesting increasing investor activity.