Since January 2022, TVL on the Cardano blockchain has displayed a remarkable increase. Recent data by DeFi Llama (a top DeFi TVL analytics firm) showed that the TVL on the network’s DeFi protocols had reached new heights of nearly $190m today, breaking the previous peak record.
There Is More To Come – Hoskinson
When staked governance tokens and valuation of pos blockchain are added to the figure above, the TVL shoots to nearly $275m. The top three platforms that contribute the highest TVL on Cardano are Sundaeswap, Minswap, and Meld with $113.37m, $71.68m, and $69.02m, respectively. Sundaewswap is an AMM DEX, Minswap combines several DEXs, and Meld is a banking and non-custodial platform.
Commenting on the spike in the TVL on Cardano, the blockchain founder, Charles Hoskinson, said, “the crypto community should expect more from us; we are just getting started.” Hoskinson further remarked that once the Vasil hard fork is completed, the TVL will even go remarkably higher as many DeFi projects are expecting this event already.
“Many people don’t know that several Cardano Dapps are expecting the launch of our next hard fork by June because they know what they stand to gain through pipelining. Hence, the current TVL might be minuscule compared to what’s coming,” Hoskinson revealed.
More Cardano Upgrades
The Cardano team has announced June as the date for the Vasil upgrade, which was named after Vasil Dabov, a popular mathematician from Bulgaria. The announcement also revealed that the blockchain would undergo another upgrade in the last quarter of the year. Some of the features to be introduced during this last upgrade for the year include Hydra, new Plutus CIPs, pipelining, and UTXO on-disc storage.
The team expects an improved throughput of the network and an optimized system to accommodate the rising number of DeFi apps, DEXs, and smart contracts. Cardano is also supporting platform-centric projects. For instance, Cardano assisted Orbits (a Cardano-built scaling solution) in raising funds through the IdeaScale network. Orbits’ official documentation states that the protocol’s ZK rollup and a layer-2 solution will enhance the network’s performance and developer experience.
The Rapid Growth Of The Cardano Blockchain
Even though DeFi projects are the most deployed on the Cardano network, many digital art creators are also launching their NFTs on the platform. A top-level executive stated that “out of nearly 500 projects in development on the network, over 70% of them are nft related. Following its rapid growth in the past 24 months, Cardano’s native token (ADA) has risen to rank among the top 9 virtual assets.
The latest Coingecko data shows that ADA’s market cap is about $26B, while its total supply is 44B ADA. Despite the rapid growth in the number of Cardano-built projects, which contributes to the rising popularity of the network, ADA’s price has been down by 7.4% in the last two weeks. However, a rising TVL and new upgrades may likely impact ADA’s price positively over the next couple of months.
