The creator of the Cardano ecosystem and founder of IOHK, Charles Hoskinson, shared his positive forecast for the Cardano ecosystem as it gained approximately 100,000 new addresses this month alone, according to his official Twitter post.
Why is Cardano growing so fast?
One of the most popular developers in the firm looks forward to seeing the growth of the ecosystem, particularly after the release of smart contracts technology, which has already attracted more than $300 million in users’ funds.
According to the release of the technology, only a couple of projects, including SundaeSwap and Minswap, successfully attracted 99% of TVL. Soon after, developers release over 15 new DeFi projects in the space, creating more diversity in the ecosystem.
Why does Charles Hoskinson expect growth in the future?
While Hoskinson’s prediction could be considered bold, he has a right to think for the rapidly emerging technology on Cardano is at the early stages of adoption and still to see the blossoming of various decentralized solutions, including lending and borrowing platforms, stablecoins, NFT marketplaces.
In an analogy with Ethereum, Cardano may face a strong increase in capitalization as the demand for DeFi, NFTs, and decentralization recovers and returns to 2021 levels
Sadly, there is no certainty that the underlying coin of the Cardano network, ADA, will follow the ecosystem’s growth place. As the TVL on Cardano faced 1000% growth, the price of ADA, which remained in a prolonged downtrend, increased by only 35% and has already lost 100% of the previously gained value.
At press time, ADA is trading at $0.9, with a 23% loss in the last 30 days.