How Does Cardano Handle State Transition in Smart Contracts?

A soft fork is a backward-compatible blockchain change that imposes new rules without requiring all nodes to upgrade, allowing continued participation and validation.

Stake pools in Cardano are essential to the proof-of-stake consensus mechanism, enabling ADA holders to delegate their stake to a pool operator. This operator participates in block production and validation on behalf of the delegators, earning rewards for both themselves and their delegators based on their combined stake and performance. This system encourages decentralization and enhances network security by distributing the responsibilities of validation across multiple participants.

Cardano promotes social equity by fostering growth, empowerment, and opportunity through its blockchain ecosystem.

Cardano mitigates Sybil attacks through its Proof of Stake model, requiring ADA staking for block production, promoting decentralization and network integrity.

Cardano promotes sustainability through its treasury system, funding ecosystem growth while incentivizing stakeholder governance for long-term viability and innovation.