Cardano has been making lots of headlines, especially in 2021, due to the impressive moves that the team behind the project has been making.
Investors are expecting to see this reflected in the coin’s prices as well.
Cardano’s future depends on a vital factor
It’s been just revealed that crypto giant Grayscale just stated that Cardano’s future could hinge on one all-important factor.
In a recently published report, the firm says Cardano is currently processing more than 115,000 transactions per day, up about 13x since the start of 2021.
It’s also important to note the fact that the network also now has about 2.8 million users, a 7.3x increase since the start of the year.
As revealed by the online publication the Daily Hodl, Grayscale says that sustaining Cardano’s network growth could be the key to driving existing and new investors to Cardano’s ADA in the short to medium term.
“If dApps (decentralized applications) and other new use cases attract new users, drive increased network usage, and improve Cardano’s metrics, these factors may support a fundamental value rotation into ADA by existing and outside investors.”
It’s also crucial to mention the fact that this analysis comes on the heels of Cardano’s deployment of smart contracts on its mainnet last month. Just in case you did not know, this enables the Ethereum competitor to launch dApps on its platform.
Also, Grayscale said that Cardano’s ability to develop a “compelling cloud super app platform and dApp ecosystem for users” will determine whether the protocol achieves lasting success.
“Multiple Web 2.0 cloud providers – including AWS (Amazon Web Services), Google Cloud, Microsoft Azure, Alibaba Cloud and Tencent Cloud – have achieved material success today to differing degrees,” Grayscale notes.
They continued and said that “The crypto cloud market may follow a similar path, and Cardano may not need to be the only winner to achieve success.”
According to Grayscale, if Cardano can reach its goals, its features and the network’s large user community “may allow the ecosystem to capture meaningful share within the rapidly growing crypto cloud platform market.”
At the moment of writing this article, ADA is trading in the green, and the digital asset is priced at $2.22.