SundaeSwap DEX Processes First Transaction: Is Cardano About To Surge?
Cardano’s highly-anticipated SundaeSwap decentralized exchange (DEX) could open the flood gates for growth in the ADA ecosystem.
Covered:
- How A DEX Could Change The Game For Cardano
- Cardano Usage Is Going Higher
Following the official launch of the blockchain’s smart contracts back in September, Cardano’s price flattened out after the market momentum moved to different ecosystems. From a summer low price of $1.06 in mid-July, Cardano’s native token ADA went on a rally to an all-time high of $3.09 leading up to the launch of smart contracts.
Cardano 180-Day Chart Credit: CoinGecko.com
After the launch, however, investors’ attention began to move towards other Layer-1 (L1) ecosystems like Solana and Avalanche. As a result, Cardano has been stuck in a steady downtrend since.
Cardano’s ADA is currently trading around $2.04 USD, down from its $3.10 high. It seems like ADA investors are waiting to see the Cardano ecosystem bloom before allocating capital back into the token.
How A DEX Could Change The Game For Cardano
One roadblock hindering the platform’s growth is the lack of a decentralized exchange, which is a crucial component of an L1 needed to bring its ecosystem to life.
SundaeSwap is a new Cardano-native decentralized exchange that’s aiming to be a first mover in onboarding users to Cardano DeFi. Yesterday, the project announced that it successfully completed the first transaction on the exchange.
Today we are thrilled to announce that we have made a breakthrough in wallet integration with @YoroiWallet
View the video below of our first transaction built, signed, and submitted, end to end, using Yoroi!
Read the full update: https://t.co/gCpxSWCRPs pic.twitter.com/V8yO1247hB
— SundaeSwap Labs (@SundaeSwap) November 7, 2021
SundaeSwap has partnered with Yoroi wallet to make transaction capabilities possible. Yoroi is a non-custodial digital wallet designed for the Cardano network.
In September, the Cardano team from Input Output Honk Kong (IOHK) addressed criticism from investors and skeptics that the ADA network suffered from a concurrency problem; a limitation that would restrict decentralized application (dApp) developers to just one transaction per block, as opposed to the millions promised by the Cardano team.
SundaeSwap is now showing up to prove that DeFi is not only a possibility but a reality on Cardano. With the first confirmed transaction on SundaeSwap, the DEX is one step closer to publicly launching on the Cardano blockchain for users to begin swapping tokens.
Other large venture capital (VC) firms like Three Arrows Capital have been investing millions into other Cardano-native DeFi protocols like Ardana, which is focused on developing its own DEX called Danaswap, as well as a Cardano-native stablecoin, dUSD.
RECOMMENDED: RARE VC FUNDRAISE FOR CARDANO DEFI PROJECT NETS $10 MILLION
Cardano Usage Is Going Higher
Despite the lack of DEX, Altcoin Daily pointed out an array of on-chain analysis from Cardano showing that ADA token usage saw a surge in activity at the end of October.
“Cardano ADA usage trending up!”
There’s a lot of data to digest here, but up and to the right means that adoption is growing. Since ADA’s mainnet launch in March, the total number of transactions has risen to over 15 million, with a sharp uptick in momentum kicking in following the smart contract launch in September. The number of native tokens also appears to be skyrocketing, with more than 1.5 million being created since March and a steady rise in daily token issuance. Transactions per day and fees per day also went parabolic towards the end of last month.
Whether it’s transaction data or native token issuance, on-chain metrics are telling us that more and more people are starting to use Cardano.
We’ll have to wait and see how ADA reacts once decentralized app (dApp) developers and users onboard. With DEXs like SundaeSwap and Danaswap close to launch, the ADA ecosystem could be gearing up to flourish in the coming months.
The post SundaeSwap DEX Processes First Transaction: Is Cardano About To Surge? appeared first on CryptosRus.
Text source: CryptosRus
