Cardano (ADA) Reports Success in NFT Division and Daily Transactions

The price curve of Cardano (ADA) cannot shake off negative trends. But in the ecosystem, the NFT division is making positive news, and transactions with ADA are currently reaching record levels.

In September, Cardano (ADA) received the long-awaited upgrade Vasil, but the hoped-for positive impulses on the price curve failed to materialize. About one month after the launch of Vasil at Cardano, ADA is trading at around $0.33, its lowest level since the beginning of 2021. However, Cardano is far from being written off in the community; despite all the critics, people regularly find positive news for ADA when searching for it.

Twitter user ADA Whale, for example, pointed out that the number of daily transactions on Cardano is at a record level. In October, the daily transactions with ADA already scratched the 100,000 mark, an increase of 75 percent compared to the previous month. Also positive: Cardano’s NFTs division is picking up speed, and for the first time Cardano ranks third among the most important ecosystems here in terms of revenue, as data from Stocktwits shows. According to this, Cardano NFTs were last traded for 1.2 million US dollars in one day. However, the market leaders in NFTs, Ethereum (ETH) and Solana (SOL), remain well ahead of Cardano with daily volumes of well over $10 million and just over $3 million, respectively.

ADA currently registers a market capitalization of just over $11 billion, ranking 8th among the world’s most capitalized cryptocurrencies. The Vasil upgrade was also expected to have an igniting effect on the DeFi division, but here the data from DeFiLlama speaks a sobering verdict. The capital deposited with Cardano for DeFi has shrunk further since Vasil and now amounts to less than 60 million US dollars, even if individual projects such as MuesliSwap are attracting massive new customers.

If you want to read more about Cardano and find the latest business news of the day, download for free our companion app Born2Invest.

Conclusion: Cardano problem case – ADA still lacks use cases

As hard as Cardano CEO Charles Hoskinson and the community try – their optimism for ADA is not reflected in the markets. Analysts have long been accustomed to skeptically examining data at Cardano and putting it in proportion to its theoretical potential. There, $1 million in daily sales in the NFT market for ADA and less than $60 million TVL for DeFi are not nearly enough to truly call it a thriving business. About 73 percent of all ADA is currently deposited for staking, clearly demonstrating that attractive use cases are in short supply. There is little to suggest that Cardano will come out of the defensive in the near future.

__

(Featured image by Traxer via Unsplash)

DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.

This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.

First published in BLOCK-BUILDERS.DE, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us.