- Cardano’s DJED stablecoin sees 100% surge, but network activity declines.
- Concerns arise over Cardano’s sustainability amid falling transactions and development.
- ADA’s market cap and social volume drop, signaling potential challenges for Cardano.
Cardano‘s native stablecoin, DJED, has experienced a notable surge in trading volume, marking a 100% increase in the past 24 hours. Despite this rapid growth, concerns arise as overall network activity, including daily active addresses and transaction numbers, has seen a significant decline over the last few weeks.
Read CRYPTONEWSLAND on
google news
The growth of DJED aligns with an increased focus on the decentralized finance (DeFi) sector within the Cardano ecosystem. The total value locked on Cardano has risen from 200 million to 326 million, primarily driven by the popularity of decentralized exchanges (DEX) on the network. However, Artemis data indicates that despite the uptick in DEX volumes, overall network activity has waned.
Daily active addresses on Cardano dropped from 52,000 to 39,000, impacting transaction numbers and subsequently reducing fees generated on the network by 20.4% in the last week. This decline in fees could affect the economic health of Cardano, impacting incentives for validators and stakers, and raising concerns about the network’s sustainability and user retention.
Furthermore, Cardano’s development activity has seen a substantial decline, with code commits falling by 41.7% in the last month. This reduction may hinder the network’s ability to introduce new features, address bugs, and stay competitive in the dynamic blockchain landscape.
While ADA, Cardano’s native cryptocurrency, currently trades at $0.4718, showing a 0.5% growth in the last 24 hours, the slowing velocity of trading and a decrease in social volume around ADA suggest a potential decline in popularity.
As Cardano’s stablecoin witnesses unprecedented growth, questions arise about the network’s overall health and its ability to sustain growth in the rapidly evolving cryptocurrency ecosystem. Traders and stakeholders closely monitor these developments to assess the long-term viability of Cardano’s ecosystem.
Read Also
disclaimer read moreCrypto News Land (cryptonewsland.com) , also abbreviated as “CNL”, is an independent media entity — we are not affiliated with any company in the blockchain and cryptocurrency industry. We aim to provide fresh and relevant content that will help build up the crypto space since we believe in its potential to impact the world for the better. All of our news sources are credible and accurate as we know it, although we do not make any warranty as to the validity of their statements as well as their motive behind it. While we make sure to double-check the veracity of information from our sources, we do not make any assurances as to the timeliness and completeness of any information in our website as provided by our sources. Moreover, we disclaim any information on our website as investment or financial advice. We encourage all visitors to do your own research and consult with an expert in the relevant subject before making any investment or trading decision.
