Cardano adds Hydra to increase transaction throughput
Cardano plans to use Hydra, a layer-two system built around Hydra Heads, to scale transaction capacity while keeping the base chain and its security model intact. Users open Hydra Heads by locking ADA on the main chain, transact off-chain with low fees and high speed, and later settle final balances back to the base layer. The upgrade targets frequent participant use cases such as gaming, decentralized exchanges and recurring payments, and it is intended to reduce congestion and fees while preserving decentralization, forming one part of a broader multi-layer scaling roadmap.
Hydra enables off-chain channels to increase Cardano transaction throughput
Context
Cardano was built to favor security and decentralization over raw speed. High demand can slow and crowd base chains, so Hydra adds extra off-chain lanes. If adopted, more heads may open and the network could handle heavier application use.
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