By Bitcoinist - 8 months ago - Reading Time: 2 minutes
New Report Shows Cardano Has Grown Exponentially In 2023
Cardano, a decentralized Proof of Stake (PoS) blockchain, has revealed a massive surge in decentralized applications (DApps) transactions despite the recent market downturns and regulatory restrictions it faced previously.
Cardano Ecosystem QoQ On Overdrive
According to a report by Messari, a blockchain analytics firm, Cardano recently experienced a 49% rise in DApp transactions on its network. Messari divulged key insights into the ecosystem’s growth in its report on August 4.
The report shed light on Cardano’s steady growth streak in its transaction activity, revealing an 8.5% rise compared to the previous quarter. The unexpected surge greatly influenced its average transaction fees, pushing it up to $0.126 from $0.117, possibly depicting a continuous upward trend in transaction value in the ecosystem.
Additionally, Minswap, a multi-pool decentralized exchange on the network, also labeled as the king of Cardano DeFi, took the spotlight as the leading DApp on the network after confirming a staggering 1 million monthly transactions between May and June.
Cardano blockchain’s positive performance in the second quarter showcases the growing interest of developers and investors in utilizing its high-end infrastructures to create, design, and interact with decentralized applications (DApps).
The Messari report also revealed that Cardano’s average daily transactions jumped from 67,500 to 68,800, signaling an increase of 2% QoQ. The blockchain platform has also experienced an increase in user engagement and active addresses.
“The ratio of transactions to active addresses has been growing steadily over the past five quarters, suggesting that the average user is more active now. In Q2, the Transaction / Active Address ratio of 1.19 was up 6.1% QoQ and 13.2% YoY,” the report revealed.
TVL Skyrockets But ADA Price Stalls
Despite experiencing a substantial upsurge in its second-quarter performance and transaction rates, Cardano simultaneously shocks the crypto community with a 198% surge in Total Value Locked (TVL) Year to Date (YTD).
While Cardano’s performance seems to be doing reasonably well presently, the third-generation blockchain platform faces a handful of obstacles that could dent its growth rate.
Among several other cryptocurrencies, Cardano has been dragged into court battles by the SEC, which alleged that ADA was a security. The altcoin has also been delisted from several crypto exchange platforms, including Coinbase and Revolut.
According to Messari, Cardano’s TVL rose by 9.7% QoQ. However, in the previous month, the Cardano ecosystem experienced significant backlash from the SEC case, which saw its TVL declining and the price of the ADA token dropping by 22.4% in one week. Following the dip, market sentiment dropped, causing massive liquidations on DeFi lending platforms.
The regulatory pressures have led to price declines for the network’s native token ADA. However, the ecosystem continues to display accelerated development following the inclusion of new protocols, projects, stablecoins, and wallets.
Original source: Bitcoinist