Cardano’s smart contracts are gaining popularity, with more than 24,000 executed, boosting confidence in the network. Due to network improvements and increased DeFi activity, ADA’s price may reach $11 in the next bull run.
Cardano, the blockchain network that consistently defied skeptics, has recently experienced a remarkable surge in the utilization of smart contracts. Data from Cardano Blockchain Insights reveals that the network has achieved a significant milestone in smart contract execution, highlighting the growing adoption of its Plutus V1 and V2 scripts.
On January 22, Cardano recorded 24,050 smart contract executions using Plutus scripts. This impressive number represents a substantial increase from the 14,379 smart contracts executed at the beginning of the year.
The rise in smart contract usage on Cardano took a notable turn on January 9, when the number of smart contracts executed using Plutus V2 scripts surged from 8,270 to 12,890 in a single day. Since then, this number has continued to rise and currently stands at 17,718.
The dominance of Plutus V2 over its predecessor, V1, reflects its popularity as it represents a newer generation of Cardano’s smart contract scripting language. Notably, Cardano introduced Plutus V2 to reduce user costs and enhance script throughput, further solidifying the network’s usefulness.
The recent surge in smart contract usage on Cardano serves as a compelling response to earlier skeptics who questioned the network’s utility. A crypto research firm, K33, had boldly claimed that there was no “proof of Cardano being used for anything,” suggesting that fabricated transactions dominated the network. However, the significant increase in smart contract executions challenges this narrative and highlights the genuine adoption of Cardano’s capabilities.
Dan Gambardello, founder of Crypto Capital Venture, has pointed out the substantial improvements in Cardano’s network since the previous bull run. The network’s smart contract functionality is among the key features that are undergoing significant upgrades. Gambardello predicts that ADA, Cardano’s native cryptocurrency, could reach $11 in the next bull run, partly due to these improvements.
These advancements have played a crucial role in revitalizing Cardano’s ecosystem. Despite a recent decline in DeFi activity on the network, momentum is expected to pick up once again. Additionally, Gambardello’s revelation on Cardano’s progress in fostering new and innovative developments further signifies the network’s growth.
Furthermore, the introduction of a fiat-backed stablecoin on the Cardano network holds great promise for the community. The potential launch of such a stablecoin could enhance Cardano’s utility, attract new investors, and have a positive impact on ADA’s price. The prospect of adding a stablecoin to its repertoire demonstrates Cardano’s commitment to evolving and adapting to the ever-changing crypto landscape.
On a different note, Cardano has experienced a significant decrease in large transactions typically associated with whale movements. This sudden drop has led to a near-halt in the network’s usual activity. On-chain metrics, which are essential indicators of blockchain activity, are signaling a sharp decline in these large transactions, often indicating significant whale activity.
While such a drastic decrease usually suggests potential changes in network dynamics, the exact reasons behind this unprecedented drop in whale transactions remain a mystery. This unexpected change in behavior raises questions about the motivations and intentions of major ADA holders.