Adoption of the Cardano blockchain ecosystem has grown exponentially since the beginning of this year, amidst rampant inflation and the adverse scenario that cryptocurrencies have gone through in 2022.
Cardano is the seventh most capitalized cryptocurrency in the crypto industry, with over $13.600 billion currently.
The cryptocurrency, whose development is led by Ethereum co-founder Charles Hoskinson, is also one of the most important blockchains in the decentralized finance (DeFi) ecosystem.
According to data from the DeFi Llama platform, the blockchain of Cardano has more than $151,8 million deposited in its smart contracts.
While the figure is small compared to other blockchains such as Ethereum and BNB Chain, the current value deposited on the Cardano network is a sign of the adoption the cryptocurrency has gained so far in 2023.
At the beginning of this year, the Total Value Locked (TVL) on the Cardano network was $48,9 million. At the time of writing, this metric has grown by 210,4%, taking Cardano to 1-year highs.
Source: DeFi Llama
There is no doubt that the past few months of 2023 have been especially positive for cryptocurrencies, despite the bear market seen in 2022 and the concerns caused by rising inflation and the global macro crisis.
Adoption of cryptocurrencies like Cardano, which launched in 2015 as the crypto industry’s first scientific blockchain, continues to rise.
Minswap, Cardano's main DEX
34% of the total value deposited on the Cardano blockchain is locked in the Minswap protocol, the main decentralized exchange (DEX) in this digital ecosystem.
The current value deposited in Minswap smart contracts is $51,4 million USD, doubling since the beginning of the year, as traders and users regain interest. In the last month, this DEX moved more than $125 million in trading volume.
Source: DeFi Llama
According to analysts, there are several reasons behind Cardano's exponential growth in TVL. Among them, the constant development of its blockchain ecosystem, with launches such as the algorithmic stablecoin DJED, the Hydra scaling solution, and the Valentine and Dynamic P2P updates.
Likewise, the thriving developer community that has joined Cardano is also driving its growth, as well as the Latest collaborations which has announced the network with protocols and companies such as Wanchain, Dead Pxlz and Paima Studios to continue expanding its ecosystem, guarantee interoperability and facilitate the development of new gaming, NFT and Web3 applications.
In March, Cardano positioned itself as the second blockchain with the greatest development activity of the crypto industry, recording 511 development activities in total, according to data consulted on the Proof of GitHub platform.
At press time, Cardano's native cryptocurrency, ADA, trading at around $0,39 per unit, reflecting a 56% increase since January.
Continue reading: Cardano launches dynamic P2P networks to improve its resilience and decentralization
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