Cardano’s potential to attract outside investors depends on one factor, according to Crypto Giant Grayscale
Crypto giant Grayscale says Cardano’s future could depend on one all-important factor.
In a recent report, the Digital Asset Manager says Cardano currently processes more than 115,000 transactions per day annually.
Grayscale says sustaining Cardano’s network growth could be key to attracting existing and new investors to Cardano’s native asset ADA in the short to medium term.
“As dApps (decentralized applications) and other new use cases attract new users, drive increased network usage, and improve Cardano’s metrics, these factors can support a fundamental rotation of value in ADA by existing and external investors.”
Grayscale’s analysis follows Cardano’s deployment of smart contracts on its mainnet last month that allow Ethereum competitor to launch dApps on its platform.
Looking at the bigger picture, Grayscale says Cardano’s ability to create “a compelling cloud super-app platform and dApp ecosystem for users” will determine whether the protocol will have lasting success.
“Several Web 2.0 cloud providers – including AWS (Amazon Web Services), Google Cloud, Microsoft Azure, Alibaba Cloud and Tencent Cloud – have achieved varying degrees of material success today. The crypto cloud market could follow a similar path, and Cardano may not have to be the only winner to be successful. If Cardano can achieve its goals, its features, along with the network’s large user community, can enable the ecosystem to gain a significant stake in the fast-growing crypto cloud platform market. “
ADA is trading at $ 2.19 at the time of writing, which has fallen more than 26% in the last 30 days, according to CoinGecko.
You can read the full report here.
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