Cardano founder pointed out mistakes in Ethereum and Bitcoin & noted that Extended UTXO will be the next step.
Charles Hoskinson is the founder of Cardano blockchain and he is also co-founder of the Ethereum blockchain project. Charles knows very well about cryptography and also about the limitations of Ethereum because in the past he was a dominant player in the Ethereum project as a developer. He is currently working to make Cardano blockchain much better for use in a decentralized ecosystem with the highest efficiency.
On 10 April, A Twitter user created a thread and explained how Charles Hoskinson created Cardano blockchain as a better option for the crypto users against the limitations of the Bitcoin & Ethereum blockchain model.
In that tweet, Charles responded and noted that the “Extended UTXO” model is the next step in this industry because it was needed to get introduced in Bitcoin but the bitcoin creator didn’t worked on this account model.
Charles also noted that Ethereum developers using account models are not fundamentally good, so developers of Ethereum blockchain are missing this fundamental thing.
Ethereum is currently leading the Defi industry with its decentralized blockchain ecosystem. Defi blockchain technology of Ethereum blockchain is using an account-based model. However, the existing account-based model of Ethereum is enough to show the balance of the asset but it is limited because of partial use.
In the past, Cardano’s founder claimed that Bitcoin and Ethereum are good at their places but here we need Extended UTXO, or E-UTXO, which can eliminate the need for additional operations in the decentralized Ecosystem, for which users are paying fees.
With the E-UTXO model, Cardano’s founder aimed to bring a highly efficient blockchain ecosystem for the Defi protocols. In short, we can say that Cardano will bring the biggest competition among the leading smart contract blockchain networks like Ethereum, Solana, etc.