Charles Hoskinson’s layer-1 blockchain Cardano recently entered the Voltaire Era and introduced on-chain governance using its native token ADA.
Despite the monumental technical achievement, ADA has continued to fall on and off the top 10 list of the most valuable digital coins by market capitalization.
While Cardano portrays itself as a blockchain platform that goes beyond Ethereum and other smart contract platforms to deliver a more sustainable and scalable solution with its peer-reviewed academic methodology, the blockchain is slowly falling behind competitors. The price of ADA has underperformed in recent months, as per a widely-followed crypto analyst who labeled the cryptocurrency “a shadow of its past glory”.
Cardano and Polkadot have failed to build strong bullish momentum, while other traditional layer-1s, including Solana’s SOL, Ether (ETH), and BNB, are leading the current bull rally. Specifically, ADA’s long-time rival SOL has dethroned ETH as the leader of bull rallies, albeit ETH and BNB are also still sharing the limelight.
Old-guard Layer 1s: who’s leading the charge?
– SOL has taken ETH’s spot in leading bull runs, but in this one is sharing the spotlight with ETH and BNB.
– ADA and DOT are lagging, a shadow of their past glory.Expect this trend to continue as stronger projects gain market… pic.twitter.com/9GynReOkEs
— 𝗡𝗲𝗴𝗲𝗻𝘁𝗿𝗼𝗽𝗶𝗰 (@Negentropic_) October 17, 2024
Currently, ADA has a market capitalization of about $12.3 billion, making it the 11th-largest cryptocurrency by total value across those tracked by CoinGecko.
Beyond Price Charts
While investors are extremely focused on price, Cardano Founder Charles Hoskinson is more innovation-centric. He recently highlighted a “long-overdue” protocol upgrade that could potentially transform how Cardano handles transactions and smart contracts, thus improving the network considerably.
Over the years, several Cardano products have emerged that seek to solve real-world problems and positively impact society, such as Emurgo Africa, which strives to boost blockchain innovation in the continent.
More recently, Cardano ran the first legally and judicially enforceable contract on its network, which was signed in Argentina and under the laws of its courts. This milestone moment could set the stage for Argentine courts to acknowledge smart contracts as a technology to streamline commercial agreements.
Meanwhile, Hoskinson has suggested that a price rise in ADA could solve all of Cardano’s long-standing issues.
