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Cardano Team Laying Ground To Onboard L2s- Developer

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Cardano contributor Sebastien Guillemot has disclosed plans to facilitate the building of Layer 2 protocols in the blockchain platform.

His comments came in response to a user’s query about the viability of creating trustless bridges and L2 solutions.

Initially, Guillemot discussed the challenges faced by ADA developers in raising funds for projects related to multi-tiered layers and sidechains.

In order to help resolve the problem, the leading developer created Milkomeda Asset Consolidator [MACC] to collect funding from many networks and combine all sales into a single Cardano asset

According to Guillemot, the MACC will deal with the liquidity challenges projects encounter when attempting to convert their presale token into an asset for their finished product.

With lesser interest from venture capitalists, this consolidation function simplifies the procedure and gives creators entering Cardano’s DeFi environment access to more funding.

Cardano, in Guillemot’s opinion, will top all other platforms for raising money for innovative projects.

The CTO, and co-founder of dcSpark, earlier shed light on what users might anticipate given that the network load reached 94% recently.

According to him, users may have to wait a while for their transaction to show up on-chain. “The further above 100% we get, the longer you will have to wait.”

Sometimes, transactions might not reach the blockchain, when lightweight mempools hit full capacity.

Guillemot claimed that most light wallets like FlintWallet allow users to choose a specific node to which transactions should be routed. “Best to run your own node”, he quipped.

The Cardano contributor also urged users to closely monitor Stake pool activities because it will soon start offering priority access.

Cardano’s Ambitious Vision

Still, there’s still room to make Cardano more scalable. Guillemot cites a few of these as follows:

Increasing the Block sizes once more, more decentralized applications switching to Plutus V2, the use of sidechains & L2s to divert traffic from the L1 [Milkomeda_com, PaimaStudios, Hydra], etc.

As part of Cardano’s scaling roadmap, Input Output, the research wing of the layer 1 blockchain launched Hydra on the main network in early May.

Hydra is a family of Layer 2 protocols designed to enhance its scalability and adaptability, catering to diverse use cases that demand fast and cost-effective transactions.

Cardano’s DEX Volume Ascends To The Top

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Cardano, a blockchain-based smart contract platform, experienced phenomenal growth, whether it be in DEX volume or TVL. According to recent statistics provided by Defillama, the DEX volume hit $68.5 million, an astounding 91% increase in just one week.

With a weekly change of 99.72%, a 24-hour volume of over $6.91 million, and a seven-day volume of $60.52 million, Minswap has been the driving force behind the effort.

Additionally, transaction volumes on the Cardano-based decentralized exchange have increased recently, going from just over $1 million at the beginning of May to $18 million so far, possibly as a result of traders scraping the network for meme coin profits.

At present, Minswap holds over 35% of nearly $175 million worth of tokens held on the network, making it the largest application on Cardano by locked value.

Muesliswap came in second, recording a surge of almost 167%, $346k in trading volume, and $3.7 million in the daily and weekly index.

WingRiders and SundaeSwap, two more well-known Cardano DEX sites, also contributed to the entire volume.

Interestingly, a similar trend was also noted on its TVL front. At press time, its TVL value stood at $173 million.

Furthermore, during the past several days, Cardano’s daily transaction total has also marginally increased. The comparatively high whale transaction count showed that the whales were engaged in ADA trading. Last week’s increase in daily active addresses also indicates increased network activity.

Recently the total amount of ADA tokens staked on the network topped 430 million. Staked value is the sum of the USD worth of all participating tokens.

The latest milestone reflects the growing confidence in Cardano’s proof-of-stake [PoS] consensus mechanism.

Holders of ADA tokens can stake their tokens in a pool and get rewards based on their stake by allocating their tokens to the pool.

This has evolved into a win-win situation because as more users engage in it, the network will grow more secure and decentralized while also generating passive revenue.

Staking has become the preferred choice over minting which has come under criticism for consuming more power and energy.

As more tokens are staked, less ADA is available for trading creating a supply shortfall. The market value of ADA may be affected by this supply-demand imbalance.

Cardano’s Rally Coincided With IOHK’s Weekly Update

Investors that chose to stake their ADA tokens profit from potential price growth in addition to contributing to the network.

At press time, the price of ADA is hovering above the crucial $0.33 support level. The value rose by almost 2% over the previous 24 hours to reach a 3-week high of $0.38.

The rally largely followed after the IOHK team revealed several significant developments that were finished this week.

Cardano Founder Doubles Down On Decentralized Governance Via CIP-1694

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Cardano founder Charles Hoskinson shed light on Improvement Proposal CIP-1694 which he claimed will boost a new era of governance with decentralization in its decision-making.

For those new, CIP-1694 is an on-chain decentralized governance mechanism for Voltaire, touted as “a wake-up call for the entire cryptocurrency industry”, by the Cardano founder.

The CIP has several other aspects that will make Cardano’s transition into full decentralized governance smoother. These include introducing a constitutional committee and features to enable the creation of a community-controlled treasury.

Recently, IOG, EMURGO, and the Cardano Foundation announced the successful applicants for CIP-1694 workshop grants. The workshops, which will run from May through July, will examine the most recent changes to Cardano’s on-chain governance that CIP-1694 has suggested.

Hoskinson in the latest podcast emphasized the need for increasing decentralization and how it might help in setting regulatory standards in the future.

Decentralization metrics, in his opinion, could develop into a significant part of regulatory standards, acting as a yardstick for judging the legality and regulatory treatment of diverse digital assets.

The IOG head suggested that a more decentralized digital asset might be given similar status to that of the Transmission Control Protocol [TCP] for the Internet.

He also foresaw a potential regulatory gap wherein increasingly concentrated crypto assets would be subject to negative legal restrictions. In his closing remarks, the founder stressed the value of self-sovereignty in the crypto industry.

Speaking about decentralization, the Cardano networking layer might be more decentralized than previously thought.

Cardano’s Nakamoto Coefficient Is Now The Highest

The Nakamoto Coefficient, often known as the MAV [minimum attack vector], is what determines how decentralized validator nodes are in a PoS blockchain. MAV is the minimum number of independent parties that must come together to successfully attack the blockchain.

The greater the Nakamoto Coefficient, the more decentralized the network is expected to be. It represents the smallest number of entities [like miners or validators] that together control more than 50% of the power [like computing power in proof of work or proof of stake].

At present, Cardano has a MAV of 38, considered to be the highest coefficient among all blockchains.

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Cardano Founder Doubles Down On Decentralized Governance Via CIP-1694 2

In related news, Cardano’s DeFi ecosystem scored a new feat when the total value of ADA tokens staked on the network crossed 430 million, data from DeFiLlama showed.

Cardano’s Total Staked Value Exceed 430M ADA

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Cardano’s DeFi ecosystem achieved a new feat when the total value of ADA tokens staked on the network crossed 430 million, data from DeFiLlama showed.

With staking, holders of ADA tokens can allocate their tokens to a pool and get rewards based on their stake. Staked value is the sum of the USD worth of all participating tokens.

The more people who engaged in staking, the more secure and decentralized the network will become while generating passive revenue.

Staking has become the preferred choice over minting which has come under criticism for consuming more power and energy.

That said, the latest milestone reflects the growing confidence in Cardano’s proof-of-stake [PoS] consensus mechanism.

Due to its decentralization, Cardano is more resistant to potential assaults and reduces the likelihood of a single point of failure, which may be one of the causes of the sharp increase in staking.

Another notable mention is the successful integration of Plutus V1 into Plutus V2 deserves special recognition. Plutus V2 now incorporates all of the built-in types and features from Plutus V1, which has improved Cardano’s functionality and broadened the options for developers.

But how does this affect Cardano’s price?

As more tokens are staked, less ADA is available for trading creating a supply shortfall. The market value of ADA may be affected by this supply-demand imbalance.

Investors that chose to stake their ADA tokens profit from potential price growth in addition to contributing to the network.

In another significant development, Cardano’s trading volume over the past 24 hours surpassed $12 million, with a weekly average standing at $50 million.

On the other hand, the Cardano network recently suffered a slowdown as users faced hour-long swaps delay on its decentralized exchanges.

As per reports, the issue was not limited to a single exchange but rather to the network that supports it.

The lengthy swaps, which took 30 minutes to complete, have caused quite a commotion in the community.

The recent upgrade, Vasil hard fork promised high-speed transactions with its pipelining technique [that’s multiple avenues and sub-chains making the transactions faster].

However, the lengthy swaps serve as a cautionary reminder that improvements must be made in order to achieve the network’s target of 1 million transactions per second.

Cardano’s DeFi Position Could Be In Jeopardy Due To This

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Cardano network was marred with an unexpected slowdown as users faced hour-long swaps delay on its decentralized exchanges.

According to reports, this problem is not exclusive to any one exchange but rather to the network that supports it.

The lengthy swaps, which took 30 minutes to complete, have caused quite a commotion in the community.

Many advocated that liquidity should be shifted onto MuesliSwap, a DEX on the Cardano network which has maintained faster transaction speeds while offering a more effective and user-friendly service so far.

The network’s theoretical capacity to process one million transactions per second [TPS] has also come under the spotlight due to the swap delays.

The recent upgrade, Vasil hard fork promised high-speed transactions with its pipelining technique [that’s multiple avenues and sub-chains making the transactions faster].

However, the time-consuming swaps serve as a stark reminder that reality might be different and that its position as a major player in the DeFi market could be at risk.

Meanwhile, Cardano meme coin SNEK’s price has significantly increased, catapulting it to the top of the layer 1 blockchain’s trending list.

Cardano-Based Meme Coin 200% Price Rally

According to the data provided by TapTools, the value of SNEK skyrocketed by a whopping 200%.

At press time, SNEK is exchanging hands at $0.000458 up by over 23% in the past 24 hours. Despite being just a year old, the meme token is now among the largest in the Cardano ecosystem.

In addition, it now has a market value of 83.33 million ADA, or $30.7 million. Given that market participants are normally less active and the market itself is less volatile, the unusual gain, especially during the weekend, has caught many by surprise.

Snek [SNEK], which describes itself as the “most chill meme coin on Cardano,” was launched on April 30 riding on the wave of an unexpected meme season on the crypto market, which was in turn brought on by the Pepe currency [PEPE] explosion.

The token was created by Goofy Crisp, who is also a crypto engineer and investor.

Cardano’s SNEK Emerges As The Top Trending Meme Token

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Cardano meme coin SNEK’s price had a significant increase over the previous seven days, propelling it to the top trending places in the layer 1 blockchain.

According to the data provided by TapTools, the value of SNEK skyrocketed by a whopping 200%.

At press time, SNEK is exchanging hands at $0.0004163 up by over 10% in the past 24 hours. Despite being just a year old, the meme token is now among the largest in the Cardano ecosystem.

Besides that, it currently has a market capitalization of 83.33 million ADA, the equivalent of $30.7 million. The unprecedented rise especially during the weekend has taken many by surprise given that market players are typically less active and the market itself is less volatile

Snek [SNEK], which describes itself as the “most chill meme coin on Cardano,” made its debut on April 30 on the wave of an unexpected meme season on the crypto market, which was in turn brought on by the Pepe currency [PEPE] explosion.

It was created by Goofy Crisp, who is also a crypto engineer and investor.

But there were no full-blown public announcements or a clear path for the meme token. However, based on SNEK’s month-long performance, the Cardano community seems to harbor positive sentiments toward the new meme coin.

Charles Hoskinson, the creator of Cardano, was also caught off guard by the phenomenon and asked, “What the heck is this Snek thing that people keep tweeting about?”

Moreover, Binance the largest crypto exchange, has recently published a detailed guide on purchasing SNEK.

Cardano Meme Token On Binance?

The news fueled rumors about SNEK’s probable listing on the trading platform inside the cryptocurrency community. The token also acted as one of the catalysts for ADA’s transaction surge.

This was confirmed by Yevhen, a Cardano Ecosystem Ambassador who recently claimed that the buzz around meme coins like Snek has played a crucial role in the increase in transaction volume.

On May 12, the leading PoS blockchain, took a step forward towards scalability as the first mainnet-compatible Hydra node went live,

Sebastian Nagel, the project developer, announced the release of Hydra node version 0.10.0 after successful demonstrations of Hydra heads on the Cardano mainnet during recent review sessions.

Hydra, a layer 2 scalability solution for Cardano, seeks to boost transaction speed by achieving low latency, high throughput, and minimal transaction cost.

Cardano’s 1st Mainnet Compatible Hydra-Node Went Live

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Cardano, a leading PoS blockchain, took a step forward towards scalability as the first mainnet-compatible Hydra node went live,

Sebastian Nagel, the project developer, announced the release of Hydra node version 0.10.0 after successful demonstrations of Hydra heads on the Cardano mainnet during recent review sessions.

According to GitHub, the release includes technical changes required to fix must-have issues before using a Hydra Head with real ADA.

The first release of hydra-node and hydra-plutus scripts which can be used on mainnet. Includes the technical changes required and must-have issues we want to see fixed before using a Hydra Head with real ADA, as well as documentation on how to run Hydra on the mainnet.

Besides the mainnet compatibility, the team has also updated the API to accommodate a first round of user requests.

Additionally, Nagel stated that some of the things on the team’s roadmap that are scheduled for release in version 0.11.0 are currently under development and that the team is always open to user suggestions for new features or ideas.

Hydra, a layer 2 scalability solution for Cardano, seeks to boost transaction speed by achieving low latency, high throughput, and minimal transaction cost.

Also, the first Hydra head is different from earlier updates in that it does not require a hard fork as it is not a network upgrade, Nagel clarified.

“Hydra is not a network upgrade, so there is no hard fork. There’s nothing really the whole network is waiting on-it’s just flipping a switch, and everything is fast,” he added.

The Hydra family of protocols was created to increase Cardano’s scalability and adaptability for a variety of use cases.

Cardano’s Hydra To Boost Adoption

In late March, Input Output Global [IOHK], the firm behind Cardano released Hydra head version 0.10.0, on the mainnet, establishing the standard for subsequent updates in its category intended to improve Cardano’s speed.

“Our goal is to make Cardano possible to grow and increase its adoption by making it more scalable. We do that by building several protocols to make these situations possible,” the lead software engineer of Hydra, noted.

Nagel stressed that there would be other incoming updates to include more use cases and that the product is not yet complete.

Cardano’s ADA Releases Node 8.0.0 Update, Bringing Major Improvements To The Network

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Cardano (ADA) has released Node 8.0.0, a key update to its blockchain that lays the framework for the Conway ledger era (Protocol Version 9.0). This upgrade is an important step forward for the Cardano ecosystem since it includes numerous important features that might affect the ADA token’s future.

Node 8.0.0 marks the start of experimental support for the Conway period, often known as Voltaire. While this version does not yet have Voltaire features, it provides the groundwork for their implementation by introducing transaction formats and allowing hard forking into the period. Voltaire is expected to provide Cardano with critical governance tools, further decentralizing the network and empowering its community.

Cardano’s Update Offers Enhanced Performance

Stake Pool Operators (SPOs) should install Node 8.0.0 on all nodes. The update provides various upgrades, such as increased impartiality in mempool logic, new query commands for improved oversight and management of the mempool, and the capability to define the network using an environment variable.

These enhancements enhance the general performance and functionality of the Cardano node, thereby improving accessibility and efficiency for users. It should be highlighted that presently, P2P networking is designated to operate on just one relay in the mainnet, while other relays run with P2P disabled.

This strategy guarantees the network’s stability and security during this transition phase. The ongoing evolution and enhancement of the Cardano network may translate to a surge in the adoption and demand for the ADA token, which could boost its value.

Over 80% of Cardano (ADA) Holders Suffering Losses: Report

According to a recent report by IntoTheBlock, most Cardano (ADA) holders are currently facing financial losses. The report indicates that at least 80% of all ADA holders are holding the token at a loss, equating to 3.44 million addresses with a combined total of 26.85 billion ADA, equivalent to $9.48 billion at current market rates.

Cardano is now ranked ninth among cryptocurrencies, with a market value of more than $1 billion, based on the ratio of losing addresses to profitable ones. With a total market value of $12.47 billion, just $1.66 billion of ADA is profitable.

Surprisingly, people who bought a Cardano token between $0.374 and $0.456 per token own most of the “loss-making” ADA. There are presently 743,560 such addresses, each with 13 billion ADA.

ADA Current Market Position 

At the time of writing, Cardano trades at 0.37% and has a green Doji candle on the daily chart. This candle of uncertainty generated after a decline suggests that the ADA price may see a modest bullish retreat to retest the H&S pattern’s violated neckline.

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Source: Tradingview.com

The retest will confirm the price sustainability below the breached level of $0.36, and traders will have the chance to short-sell. The breakdown of the H&S pattern can result in a fall of the same distance between the head peak and neckline in ideal circumstances.

The ADA price will drop by 18% and reach the support level of $0.3, the lowest point reached in March. Furthermore, a new trendline of resistance is visible in the daily chart, indicating the current correction phase. Thus, if the price breaks above this trendline, it would negate the bearish analysis and help buyers regain higher levels.

Related Reading | DOGE Whale’s Massive 300 Million Token Transfer To Binance Triggers 6% Price Drop: What’s Next For Dogecoin? |

Cardano’s Wrapped BTC Protocol Enters A “New Era”; Here’s Why

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Cardano-powered Wrapped Bitcoin protocol AnetaBTC has embarked upon a new era by adding new capabilities to its cBTC token.

In accordance with the announcement post, cBTC will now enable users to carry out regular transactions, obtain loans, and trade on DEXes. The integration is set to boost Cardano’s DeFi ecosystem.

A month back, AnetaBTC, the decentralized on-chain protocol that enables direct wrapping of Bitcoin on the Cardano and Ergo blockchains, launched its testnet to illustrate minting “wrapped BTC” on the blockchain.

Wrapped assets allow liquidity to be bridged from other ecosystems, and wrapping BTC on Cardano may help release liquidity from the $585 billion BTC market.

The cBTC tokens are wrapped tokens representing Bitcoin on the Cardano blockchain in a 1:1 ratio.

These asset-class tokens were created to provide a solution to the lack of interoperability between different blockchain networks.

This is achieved by allowing users to transfer value across these networks in a seamless manner, making it easy to access other DeFi protocols without the requirement for their respective native tokens.

Having said that, Cardono’s DeFi ecosystem has been bustling with activity since the start of the year, causing a jump in ADA total value locked [TVL], which increased from under $50 million to over $150 million during this time.

Despite the current market decline, transactions on Cardano DeFi apps increased to 250k per epoch from 160k transactions during the previous epoch.

The introduction of new DeFi protocols onto the network and the vibrant community of developers and users driving innovation for the protocol are credited with this extraordinary 56% rise in transaction volume.

Yevhen, a Cardano Ecosystem Ambassador recently commented on the transaction surge in the layer 1 blockchain.

Cardano’s DeFi Maintains Robust Growth

Yevhen claimed that the recent buzz around meme coins like Snek and Pepeblue has played a crucial role in the increase in transaction volume.

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Cardano's Wrapped BTC Protocol Enters A "New Era"; Here's Why 5

Pepeblue is a newly launched crypto asset on the ADA network and in its metaverse while Snek is a crypto-based on memes of snakes with interior monologue captions.

Apart from the hype around meme coins, Yevhen also credited several crypto exchanges and liquidity protocols on the Cardano blockchain which have reported significant increases in activity in recent weeks.

This includes Sundaeswap SUNDAE, Minswap [MIN], MuesliSwap [MILK], Wingriders [WRT], and Liqwid Finance [LQ].

Cardano Founder Predicts DeFi Will Replace Banks

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Cardano founder Charles Hoskinson made a satirical remark in which he applauded the demise of five major banks and predicted that digital assets and decentralized finance [DeFi] would soon replace the current financial system.

Hoskinson wrote in his tweet: “If only we had a different way to run a banking system…if only we had a different kind of money.”

His tweets come in the wake of the numerous US bank collapses that set off a global financial crisis and have turned the spotlight on new decentralized alternatives.

Earlier in March, the Cardano founder shared his view on the unstable and volatile banks and how crypto ought to detach itself from these traditional legacy institutions.

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Cardano Founder Predicts DeFi Will Replace Banks 7

Regarding Hoskinson’s suggestion to restrict using banks, he emphasized how cryptocurrencies have the potential to create fresh, decentralized alternatives to current financial infrastructure.

It will be interesting to see how the industry handles the regulatory environment as it develops and creates new decentralized financial systems.

Hoskinson in the past urged the crypto community to exercise caution during the banking crisis. In a tweet, the Cardano founder warned crypto investors to avoid over-collateralizing their holdings as they wait for the market to stabilize.

Recently, Cardano’s gaming partner Paima Studios announced the arrival of a new game from Dead Pxlz.

According to the announcement, Dead Pxlz, an NFT-based project will leverage Paima’s technology to create the upcoming PXL Wars game.

Cardano Gaming Boost

Speaking about the new development, Sebastien Guillemot, an active member of the Cardano community, tweeted,

“Super excited to work with Dead Pxlz to bring their vision to life. They’re an innovator in the NFT space. Super excited about what they’re building”.

For the uninitiated, Paima Engine is a novel layer 2 solution that allows the creation of on-chain games where the game state can be associated with NFTs.

By the end of the year, it hopes to increase the number of users it has and is actively striving to create a varied ecosystem of businesses that use its technology.

The collaboration with Dead Pxlz exemplifies the engine’s potential in the blockchain-based game industry.

A few weeks prior, the layer 1 blockchain revealed its integration with the top web3 gaming platform, enabling Cardano users to participate in on-chain games using ADA coins.

In the announcement post, Paima Studios stated that through this launch, it intends to make the L 1 blockchain a top gaming chain by user count.