Recently, Cardano (ADA) successfully completed its Vasil update which led to a higher efficiency of the network. Development platform Emurgonow has announced that it will make a major financial injection into the Cardano network. A whopping $200 million has been made available.
Cardano continues to develop
The bear market does not seem to slow down Cardano’s development. With the aforementioned Vasil update and the upcoming investment from Emurgo, the network continues to make great strides. Of the 200 million, half of this will go towards developing projects in Africa, a region where Cardano is very active.
The investment is mainly aimed at projects that have been or will be developed on the Cardano network. The investment comes at the right time; the Vasil update has been completed and developers can now get even more out of the network than before. Emurgo’s financial assistance will make the network more attractive to new developers.
Cardano news often states that the network is often criticized. For example, it is often claimed that the network is not growing fast enough or is not active enough. Recently, Ethereum (ETH) maximalist Evan van Ness Cardano called a “zombie chain,” referring to the low activity on its blockchain.
Total value locked on Cardano
Cardano seems to be developing relatively slowly but precisely. However, it is a fact that Cardano is lagging behind when it comes to Decentralized Finance (DeFi). The investment should be a big boost for Cardano’s DeFi.
DeFi’s benchmark is total value locked (TVL). This is the total amount of assets ‘pinned’ on the network. This often happens in the form of a liquidity pool or in the form of staked tokens. According to analysis platform DefiLlama Cardano’s total TVL is about $75 million. In comparison; Ethereum’s TVL is over $30 billion.
Earlier this year claimed Charles Hoskinson, co-founder of Cardano, said the network’s TVL would be higher if the staked coins were included. At the beginning of August of this year, more than 70% of ADA had been staked on its own network.
If this counted, Cardano’s TVL would be nearly $20 billion. This would make Cardano the number 3 in TVL after Ethereum and Polygon. According to DeFiLlama, “native strikehowever not included. The reason for this is that Cardano users do not need to lock up their staked tokens. In this way it remains officially a liquid asset.
