Data from the Cardano ($ADA) network shows that the number of wallets on the network has grown by more than 100,000 so far. This phenomenon comes in the wake of the collapse of FTX. Indeed, a portion of cryptocurrency users seem to have moved their funds to other wallets.
The impact of FTX on the Cardano network
According to data from Cardano Blockchain Insights, the number of Cardano wallets has recently increased by more than 100,000. Thus, this number increases from approximately 3.633 million at the beginning of the month to more than 3.73 million at the time of writing. The accelerated growth of Cardano wallets on the network comes after the collapse of cryptocurrency exchange FTX, which came under attack this month. During this attack, FTX halted withdrawals and later filed for Chapter 11 bankruptcy protection.
After FTX filed for bankruptcy, the contagion hit the cryptocurrency space as a whole. Following this collapse, trust in centralized platforms was severely affected. For example, cryptocurrency lender BlockFi has suspended withdrawals. The company also announced that it will no longer be able to operate as usual given the rush on FTX. Obviously, the opacity around FTX does not help to improve the situation.
The evolution of Cardano
The Cardano network continues to grow and recently took the next step with the launch of its first stablecoin. Other stablecoins are being created on the Cardano network. EMURGO is the trading arm of Cardano. The latter announced at the beginning of November the planned launch of its new USDA stablecoin backed by the dollar. It is the first fully fiat-backed and regulatory-compliant stablecoin in the Cardano ecosystem.
According to the EMURGO press release, USDA benefits from the stability and security of the US dollar. Added to this are the low fees, the green aspect of the Cardano blockchain as well as locking in the value of investors’ crypto assets by pegging them 1:1 to the US dollar. By reducing volatility and unlocking fast global transactions without delays from existing banking and payment infrastructures. Similarly, a Cardano-powered algorithmic stablecoin called Djed ($DJED) is expected to launch early next year. This launch is expected to take place on the mainnet of the smart contract platform. The authors of this announcement are the developers themselves during the Cardano Summit in Lausanne, Switzerland.
Source : crypto globe
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