Less than 2 weeks after the activation of smart contracts on the Cardano blockchain, numerous tools are being activated in the testnet, including the ERC20 converter, a converter to connect the Cardano blockchain to Ethereum.
During the latest Cardano360 update, Francisco Landino, from the Arch Case sales team, explained what the ERC20 converter and gave an update on the project:
“Users will be able to migrate their Ethereum tokens to Cardano, users will also be able to move cash or move their utility tokens to use the applications that are migrating from Ethereum to Cardano. These applications are mainly looking for a cheaper and faster blockchain with also greater security regarding how smart contracts are formally verified thanks to the better capabilities of Cardano. (…) This is a two-way bridge, so users can migrate from Ethereum to Cardano and from Cardano to Ethereum ”.
Several months ago we published an article on the migration in Ethereum to Cardano course, mentioning some projects. One of them is SingularityNET (AGIX) which will be the first token to test this tool. Landino continues:
"(The community) will see everything next week on the testnets and users will be able to test the migration of their AGIX tokens from Ethereum to Cardano and also vice versa from Cardano to Ethereum”.
Is Cardano's ERC20 converter a danger for Ethereum?
Cardano is currently the most capitalized Proof of Stake (PoS) blockchain and aims to be a faster, cheaper and safer alternative to Ethereum. What remains to be seen now is whether Ethereum will be able to go from Proof of Work (PoW) to PoS and maintain its network effect or whether Cardano will be attractive enough for projects to migrate to the blockchain founded by Charles Hoskinson.
It's important to put attention on the bridge is bi-directional, which means that many projects are likely to use both blockchains. Charles Hoskinson has often reiterated that the interoperability is very important.
Another guest on the Cardano360 program was Marcello mari, CEO of SingularityDAO (SDAO), another project that plans to use the Cardano blockchain.
SingularityDAO's mission is to innovate the space DeFi by means of the introduction of sophisticated artificial intelligence, providing an ETF-style basket of tokens called Dynasets to your community and anyone who wants to expose themselves to the crypto economy, with AI automatically rebalancing these tokens.
The first iteration of these Dynasets is using the Ethereum blockchain, but Marcello stated that they can't wait for Cardano to reach sufficient maturity for the second Dynasets interaction to also be available in the Cardano ecosystem.
It appears that the market is appreciating that these projects are preparing to launch on the Cardano blockchain. AGIX and SDAO rose 34.7% and 84.8% respectively in the last 7 days according to Coingecko data.