Cardano’s ADA has experienced an astonishing surge in value in recent months, with appreciation exceeding 120% since October 20. As we approach the end of December, ADA continues to reach new all-time highs. However, it’s not just the value of ADA that is on the rise; Cardano’s DeFi ecosystem is also flourishing.
The total value locked (TVL) in Cardano’s DeFi ecosystem has reached new heights, surpassing $370 million this Friday. This marks a staggering 520% growth since the beginning of the year. The increasing TVL can be attributed to several factors, including a surge in decentralized exchange (DEX) activities, ongoing network developments, and growing investor confidence in Cardano’s DeFi scene.
One of the driving forces behind Cardano’s TVL surge is the significant uptick in decentralized exchange (DEX) activities. Within 24 hours, Cardano’s TVL rose by more than 30%, accompanied by a substantial increase in DEX volume, surpassing $12 million. This surge in DEX activities coincided with ADA reaching the 50-cent mark. The trading volume on Cardano DEXs has been revitalized, experiencing a remarkable 140% weekly increase to reach $50 million over 24 hours. This is a stark contrast to September when most protocols combined barely processed $50 million.
If this positive trend continues, Cardano’s trading volume could exceed $100 million on a monthly basis, a significant milestone that hasn’t been achieved since August. As more investors recognize the potential of Cardano’s DeFi ecosystem, it is likely that the growth will continue.
In addition to the flourishing TVL, Cardano-based meme coins like Snek have also experienced significant growth in the past 24 hours. Snek, which had been relatively quiet for months, suddenly witnessed a bullish trend, lifting its market cap beyond $70 million. This exemplifies the broader excitement and optimism surrounding Cardano and its associated projects.
Cardano’s ADA surge is undoubtedly impressive, but the growth of its DeFi ecosystem is equally significant. With a flourishing TVL, increasing DEX activities, and the emergence of successful meme coins, Cardano’s DeFi scene is on an upward trajectory. As the ecosystem continues to evolve and attract more participants, it is poised for a bright future.