The Cardano blockchain’s total value locked (TVL) has reached a major milestone after surpassing 500 million ADA. This comes just a month and a few days after TapTools predicted an exponential increase in network TVL.
In this forecast, Cardano portfolio tracker TapTools also reported a number of factors that could play a pivotal role in Cardano’s explosive growth in the coming months.
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Cardano DeFi Ecosystem Achieves 500 Million ADA in TVL
The total value locked in the Cardano network currently stands at 505.114 million ADA, according to data from DeFi TVL aggregator Defillama. Converted to US dollars, this is equivalent to $186.18 million.
Source: DefiLlama
This new milestone represents a remarkable 91.9% increase in total value locked since the beginning of the year. Meanwhile, Cardano’s TVL has increased by nearly 8% in the past month, indicating steady adoption in the DeFi ecosystem.
According to on-chain data, Minswap is by far the leading protocol on the network, with a TVL of $55.56 million. In fact, the decentralized exchange boasts a market share of 29.84%.
The Minswap protocol is followed by Indigo, a collateralized debt protocol, with a total valuation of $28.5 million. WingRiders, Liqwid, and Djed Stablecoin are the other three. Cardano is a notable protocol in the DeFi ecosystem with a TVL of $17.51 million, $15.42 million, and $13.71 million, respectively.
It is important to note that Total Locked Value is an indicator that estimates the amount of cryptocurrency locked in DeFi protocols on a particular blockchain. It is calculated by adding up the value of all cryptocurrency assets locked in various DeFi protocols on the blockchain. TVL can be the native token of the blockchain (like Cardano’s ADA) or can be denominated in USD.
ADA prices do not see significant changes
A surging total value is often an indicator of increased activity in the DeFi ecosystem. However, Cardano’s impressive TVL growth has not particularly affected the price of ADA, the blockchain’s native token.
At the time of this writing, one ADA token is trading at $0.3655 and has lost 1% of its value in the last 24 hours. The price of ADA has been flat recently, falling only 0.5% over the past seven days.
ADAUSD trading at $$0.3652 | Source: ADAUSD chart from TradingView
However, a broader look at the market shows that ADA has been in a steady downtrend, losing over 13% of its value over the past month. The cryptocurrency has a daily trading volume of around $129.3 million.
According to data from CoinGecko, ADA is the 7th largest cryptocurrency with a total market capitalization of $12.79 billion.
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-Featured image from Solodev, charts from TradingView