How to Build an App on Cardano?

How to Build an App on Cardano?

Table of Contents

Cardano is a next-gen blockchain platform created by Charles Hoskinson in the year 2015. He was one of the early developers of Ethereum and the co-founder of BitShares. One of the most defining features of Cardano is its focus on completely transparent research as well as development based on evidence. It is truly the first blockchain project to be peer-reviewed. Charles Hoskinson described Cardano as the third-generation blockchain with Bitcoin and Ethereum as the first & second-generation blockchain. The platform happens to be an excellent blockchain platform for building smart contracts, websites, and apps with any kind of scalability problems.

Building an App on Cardano

Now, it is clear that Cardano serves as a very good and effective blockchain platform for building apps. So, let us dive a bit deep into the topic to understand how to build an app on Cardano.

Step 1 - Defining the Scope of the App

At the time when you have planned to build an app on Cardano, it is of immense importance to start with defining the scope or concept of the project. It is ideal to be specific about the exact product to be created, which makes the idea behind the project quite clear. Here are a few important questions to ask that help define the scope of the project and make the developmental tasks easier during the proceedings.

  • Does the app match the present trends?
  • What problem the app solves, and what benefits it offers to the users?
  • What is the app’s potential in terms of market & audience size, and future demand?
  • Who are the competitors?

Answering these questions plays a significant role in appropriately defining the scope or concept of the project.

Step 2 - Defining Business Goals, KPIs, and Monetization Models

Once the scope of the project is defined, it is essential to start defining the business goals. If the app is for commercial use, then it is important to calculate the methods of monetization and the income that it can bring in the short, medium, as well as long run. This, in turn, will play a crucial role in planning the budget of development, providing detailed information regarding the choice of optimum monetization model, and determining the KPIs. At this stage of building an app on Cardano, here are a few pointers to consider.

  • The way of revenue generation from the app.
  • The overall budget requirement for app design and development.
  • Presence of any growth springboard like the launch of a new blockchain, market or world events, the failure of competitors, etc.
  • Association of any potential risks.

Keeping these pointers in mind makes sure that the developmental tasks are carried out smoothly without any kind of interruption.

Step 3 - Choosing the Appropriate Tools and Software

It is the most important step of building an app on Cardano. It is extremely important to select the most appropriate tools and software before building the app. Choosing advanced tools and technologies makes sure that the best results can be obtained. In this regard, it would certainly be a very good idea to seek the help of a professional blockchain app development company to get the best possible results. It is recommended to choose a development company with adequate skills, vast experience, in-depth knowledge, a dedicated & comprehensive team, a comprehensive approach to app development, and a business-oriented approach.

Step 4 - Development of the App

This stage involves the building of the app. The developers perform their duties by implementing the design in the right way and the functionality in software code by the use of standard tools for development as well as some special solutions from Cardano such as Plutus, Playground, Glow, Marlowe, KEVM devnet, and IELE devnet.

Step 5 - Launching the App

It is the final stage or step where the app is launched. After designing and developing, the app is tested before its final implementation. Ultimately, the created apps need to be deployed on the Cardano blockchain and added to different listings.

Benefits of Building an App on Cardano

After reading through, you have a clear idea about the process of building an app on Cardano. Now, let us understand the benefits of building an app on Cardano.

Ouroboros Consensus Mechanism

The main benefit of building an app on Cardano is the Ouroboros consensus algorithm. It is a highly secure version of Proof-of-stake, where the transactions are not checked by every node as in the case of Proof-of-work, but they are checked by a selected group of network participants referred to as the slot leaders.

Dual-Tier Network Architecture

Another benefit of using Cardano to build apps is the separation of the blockchain into two related but fairly independent tiers.

  1. Cardano Settlement Layer or CSL is the first tier that is responsible for operation and processing transactions for the Cardano wallets.
  2. Cardano Computation Layer or CCL is the second tier that is responsible for the operation and calculation of apps.

This separation allows making significant changes to the blockchain without forking.


This feature allows different non-homogeneous shards and blockchains to work together. Moreover, it allows the creation of apps that are very closely linked to one another but still remain independent.


Scalability is another major benefit of building apps on Cardano. With Ouroboros and sidechain technology, Cardano has the potential to process a trillion transactions per second. This high potential of scaling enables Cardano to be the basis for the development of any level of apps.


Another major benefit offered by Cardano is complete transparency and its decentralized nature. All the research is public, the software’s source code is open, and the technical processes are audited on a regular basis. Moreover, the results are available publicly, thereby enhancing transparency.


Legitimacy is one more important benefit of building apps on Cardano, where the project team’s wishes are balanced with those of the centralized authorities as well as the decentralized community. Developing an app on Cardano makes sure that it complies with all the necessary laws, rules, and regulations set by authorities.


Building apps on the Cardano blockchain is still in its budding phase. Slowly and steadily, we have seen a rise in using the Cardano platform for developing apps. It is true that the benefits offered by Cardano can be appropriately leveraged to create highly useful as well as functional apps. The scope of building apps on Cardano is huge, with a wide array of opportunities. So, we have to wait and see what the future has in store for app development on Cardano.

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