A Cardano supporter account on Twitter, known as ADA Whale, recently It was claimed that Cardano has created a free token economy worth billions of dollars. According to the tweet, many sectors including DeFi, telecom, books, games, music, and storage have adopted Cardano’s native currency ADA as its base.
There is no doubt that this is a sign of the growing acceptance and relevance of this platform in the crypto sector. According to the account, the platform will thrive in future bull markets due to its dedicated and passionate community.
Comparing it to Ethereum – the leading smart contract platform and the second-largest cryptocurrency by market cap – the tweet highlights how this blockchain platform has achieved similar levels of token diversity and economic activity.
As a proof-of-stake blockchain, the platform aims to provide a more scalable, secure, and sustainable platform for decentralized applications. As reported by CoinMarketCap, it has a current market capitalization of $8.8 billion—making it the seventh-largest cryptocurrency globally.
Cardano’s Performance and Challenges
However, ADA has not been immune to the challenges and volatility of the crypto market. Its native token, ADA, recently saw a significant decline in price. Currently, ADA is trading at $0.2507, which represents a decline of 0.25% over the last 24 hours and a decline of 2.03% for the week after several setbacks.
One possible reason behind ADA’s performance can be attributed to the ongoing SEC lawsuit against Binance and Coinbase, two major global crypto exchanges accused of violating securities laws by providing trading services for ADA and other tokens classified as securities. Is accused of.
Despite these circumstances, ADA supporters argue that it is not a security, but rather a utility token that promotes the network and facilitates transactions. They highlight its strong roadmap and vision for the future, including upcoming upgrades like smart contracts launching in 2023.
Smart contracts are self-executing agreements running on blockchain technology that enable diverse applications like DeFi, NFTs, gaming. Cardano’s smart contract platform known as Plutus differentiates itself by prioritizing security, reliability, and interoperability compared to other platforms available on the market.
Additionally, Plutus empowers developers to create custom tokens on its blockchain without the need for a separate blockchain. With initiatives like smart contracts and other innovations, this blockchain platform seeks to attract more developers and users while expanding its token economy.
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