Cardano (ADA) is facing institutional inflows as investors withdraw funds from leading altcoin Ethereum (ETH) and leading crypto Bitcoin (BTC).
- 1 Cardano withdraws institutional funds as Ethereum and Solana run out!
- 2 Cardano grows as it prepares for summer releases
- 3 Cardano users will discover Djed stablecoin trial
- 4 Share this:
Cardano withdraws institutional funds as Ethereum and Solana run out!
According to CoinShares, Cardano is seeing inflows of funds from institutional investors as demand for the network increases after multiple new releases and solutions that place the ecosystem in one category with giants like the leading altcoin Ethereum.
The most interesting aspect of the report is the reallocation rate of institutional funds, not the presence of increased inflows. As Cardano (ADA) gains more trust among institutions, Ethereum (ETH) and Solana (SOL) are actively depleting.
At the current rate, the volume of ADA held by institutions will exceed Ethereum holdings in the next few months. According to experts, the most likely reason for the outflow of funds from Ethereum (The Merge) is the recent problems with the Beacon chain, which is possible in the main’net after the merge.
Experts note that security concerns can become a major issue for investors, especially institutions that tend to choose stable investments over speculative investments. The block reorganization may have caused all operations and transactions that took place while existing on the main-net to be copied.
Cardano grows as it prepares for summer releases
Meanwhile, Cardano recorded a 368% YTD increase in daily on-chain transactions, increasing the growth of the network. According to experts, such a strong increase is linked to the launch of the first decentralized applications and solutions built on the ecosystem.
AmkNews.com As we have reported, the biggest and most anticipated update for Cardano is Vasil Hard Fork, which will bring several CIPs to life. Experts state that anticipated network upgrades will reduce transaction fees and transaction time, making Cardano one of the cheapest and fastest networks in the industry.
At the time of writing, Cardano was trading at $0.5745, up 2.84% in the last 24 hours and 21.69% in the past week, according to CoinMarketCap data. Ranking 6th in the crypto market with a market capitalization of $19.4 billion, Ethereum rival reached an all-time high by reaching $3.10 about 9 months ago. However, the altcoin has since lost value and is currently 81.5% away from its peak.
Cardano users will discover Djed stablecoin trial
According to a recent announcement by the Milkomeda team, Cardano users will soon be able to test the Djed stablecoin on the Milkomeda test-net. The team said it will make a test-net version of Djed available on the Milkomeda test-net, thus allowing users to explore the algorithmic stablecoin. Milkomeda is an Ethereum Virtual Machine (EVM) compatible side-chain that enables developers to achieve cross-chain interoperability between Cardano and Ethereum.
Curious about the upcoming Djed stablecoin?
Would you like to learn more, play with it in a safe way (testnet with no real value). We will make available a testnet version of Djed on Milkomeda Testnet.
Coming up next week! pic.twitter.com/JGXUS7CjSX
— Milkomeda (there is no token) (@Milkomeda_com) June 3, 2022
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