Six months ago, Cardano, with a capitalization of $ 100 billion, was in the TOP 3 blockchains, but subsequent problems with the introduction of decentralized applications brought down the value of the coin from $3 to $1.5. Many felt that the days of the project were numbered, and a number of users even called it a “scam”. Nevertheless, it is too early to write off Cardano, and the emergence of new startups based on it is proof of that.
Last September, the Alonzo hard fork activated support for smart contracts, which paved the way for the launch of decentralized applications and exchanges (DEX). This also revealed the presence of a significant network problem related to parallelism, which manifested itself in errors when trying to exchange tokens on the first DEX Minswap.
Some bloggers, without going into details, predicted Cardano oblivion
In their opinion, the network is able to conduct only one transaction per block and only one user can interact with the contract at the same time. However, this is not the case, and it all depends on the DEX architecture used. The DEX SundaeSwap team made a rebuttal, calling the problems of the predecessor a “failed experiment”.
How right one or the other side will become known tomorrow – January 20 – with the launch of the SundaeSwap exchange. For Cardano, this is doubly positive news, since the successful launch of the project will remove the community’s claims to the network’s ability to operate smart contracts, as well as increase the demand for ADA coins needed to participate in the betting and distribution of SUNDAE tokens.
The second positive factor for Cardano is the network’s debut on the metaverse market. On January 15, the Pavia project, a competitor of Decentraland and Sandbox, was launched.
Of the issued 100,000 virtual land plots, about 60% were sold through presales, and the rest will go on sale during 2022. At the moment, there are more than 8 thousand land owners in Pavia, and the record value of the plot is 58 thousand. ADA (~$84 thousand).
After the “unsuccessful September experiment”, Cardano moved from third to fifth place in the overall standings, losing half of its capitalization. However, this year the network has every chance to regain its position.