A recent report by data provider Messari reveals that Cardano, a prominent layer-1 blockchain, has made substantial strides in stablecoin adoption and has risen in the DeFi rankings during Q3.
The Cardano network demonstrated remarkable growth across various metrics in the past quarter, with stablecoin adoption taking center stage. Stablecoin usage on Cardano witnessed a significant 16% increase in the last quarter alone, contributing to a staggering 461% rise since the beginning of the year.
This impressive resurgence of Cardano’s stablecoins can be attributed to key players such as iUSD and DJED, both of which experienced a notable uptick in user adoption during the period under review.
These stablecoins, introduced in November 2022 and February 2023, were pivotal in propelling Cardano’s stablecoin market share from slightly above $50 million to over $200 million by the end of the third quarter.
Furthermore, Messari’s report highlights the significant contribution of the blockchain bridge protocol, Wanchain, to the surge in stablecoin value on the Cardano network. Wanchain facilitated user access to mainstream stablecoins like Tether (USDT) and Circle USD (USDC), enabling users to enhance their DeFi experience by utilizing Wrapped Bitcoin (WBTC).
Cardano’s DeFi Ranking Soars with Stable TVL
Cardano’s DeFi ecosystem experienced remarkable stability in total value locked (TVL) throughout the third quarter, with TVL only marginally fluctuating from $150.7 million to $150.6 million.
However, this consistency was sufficient for Cardano to ascend in the rankings, now standing as the 15th largest blockchain by TVL, a substantial leap from its 34th position at the start of the year. The network’s year-to-date TVL growth has surged by an impressive 198%, contributing to its significant rise in the rankings.
Mild Uptick in NFT Trading Volume
Additionally, Messari’s data highlights a moderate increase in NFT trading volume on Cardano. During Q3, NFT trading activity on the Cardano network’s marketplaces increased by 10%, rising from $0.5 million to $0.6 million.
Concurrently, there has been a notable increase in the number of projects under development on the Cardano platform, with many of them receiving financial support from the project’s treasury.
Specifically, through the Project Catalyst Fund10 initiative, Cardano has provided funding to a total of 192 projects, totalling 50 million ADA (equivalent to around $14.5 million). This injection of capital has significantly strengthened Cardano’s DeFi ecosystem, solidifying its position as a formidable contender within the realm of major blockchains.