As a blockchain platform, Cardano (ADA) stands out from other crypto protocols. Indeed, since its launch, the project has adopted an innovative approach, particularly in terms of decentralized finance (DeFi). In recent months, significant progress has been made. The Total Locked Value (TVL) on the Cardano ecosystem has passed a significant milestone. It is now approaching 400 million ADA.
Cardano’s TVL “To the moon”
The current TVL on Cardano is estimated at 398.55 million ADA, or approximately $148.55 million. It is possible to follow its evolution in real time thanks to the aggregator DeFiLlama. In addition, it should be noted that this amount briefly exceeded 400 million ADA on May 14.
The TVL is the amount of cryptocurrency locked in the smart contracts of a DeFi protocol. This is an important element for measure activity overall and liquidity of a DeFi platform. Thus, a TVL of 400 million ADA testifies to the growing confidence and interest in the DeFi offers of the Cardano platform.
Cardano’s success in the DeFi ecosystem is due to its unique approach in terms of scalability and durability. Indeed, the platform uses a proof-of-stake (PoS) variable. Its consensus mechanism allows processing of faster transactions. Also, its greatly reduced power consumption compared to proof of work.
Smart contracts like no other
Alongside its impressive TVL, Cardano benefits from an incredible technical evolution. Thus, its ecosystem is becoming increasingly popular in the crypto space. This portends a promising future for its DeFi initiatives. Indeed, the introduction of smart contracts by the Alonzo update and later the Vasil upgradetestify to this dynamic.
A highlight in 2023 is the addition of more than 1,000 Plutus V1 smart contracts to the network since the beginning of the year. This integration, associated with that of Plutus V1 in Plutus V2, has made it possible to widen the field of possibilities for developers. These advancements have enhanced the capabilities of Cardano.
Despite a slight drop in its price in recent days, Cardano remains a solid cryptocurrency. Its market capitalization is around 12.8 billion dollars. Its performance in terms of TVL and the successful integration of many smart contracts are strong signals, which attest to the beginning of maturity for the protocol. This is why Cardano continues to attract interest from investors and developers. The positioning of ADA as a key player in Decentralized Finance (DeFi) is underway.
Receive a digest of news in the world of cryptocurrencies by subscribing to our new service of daily and weekly so you don’t miss any of the essential Tremplin.io!
