Proof-of-Stake (PoS) smart contract network Cardano (ADA) has recorded promising results in the first quarter of 2023. A Messari cryptocurrency report highlighted some of the key achievements of the blockchain platform in the last three months and according to the report, Cardano has experienced impressive growth in this short while.
The blockchain platform has experienced a different level of network scalability improvement and an increase in the adoption of new stablecoins. Similarly, there has been an advancement in virtual machine (VM) compatibility enhancements. Apart from all these development, Cardano underwent an expansion of its programming language support to entice more developers.
Cardano’s Total Value Locked (TVL) in Decentralized Finance (DeFi) almost tripled with a 172% increase quarter-over-quarter.
This particular surge brought the protocol’s TVL from $50.8 million in Q4 2022 to $138.3 million at the end of Q1 2023. Markedly, the increase in dApp transactions as well as the rallying adoption of certain stablecoins including Indigo’s IUSD and Djed’s DJED on the ecosystem has contributed to this significant growth in TVL.
Cardano Welcomes Layer-2 Scaling Solutions
Several layer-2 scaling solutions have also been deployed on the protocol’s mainnet while sidechains like Milkomeda C1 and IOG’s EVM sidechain have continued with their development, thereby increasing compatibility.
Notably, these sidechains are responsible for streamlining the integration of developers from other platforms to the protocol. This, in turn, eradicates the learning curve for those developers who are not familiar with Cardano’s eUTXO accounting model.
The market capitalization of the Cardano network native token ADA leaped by 54% quarter-over-quarter from $8.6 billion to $13.2 billion. This was one of the most prominent expansions for Cardano as the market cap increase moved the protocol from the 9th largest network to the 7th. As of the time of this writing, the market price of ADA was $0.4189, according to CoinMarketCap.
Both Indigo’s IUSD and Djed’s DJED caused a hike in the total stablecoin value up to 261% quarter-over-quarter, that is from $2.8 million in the last quarter of 2022 to $10 million at the end of Q1 2023. Amidst these growths, however, the volume of daily Non-fungible token (NFT) transactions on the platform dropped by 27%.
