Cardano may beat Ethereum and Solana as institutions see more potential on network than ever
Cardano sees an influx of funds from institutional investors as demand for the network increases following many upcoming releases and solutions, putting the ecosystem in a category with giants like Ethereum, for example. Room shares.
The most interesting part of the report is not the existence of rising inflows, but the rate of reallocation of institutional funds. Ethereum and Solana are being actively drained as ADA gains more confidence among institutions.
At the current rate, in the coming months, the volume of ADA held by institutions will exceed Ethereum holdings. The most likely cause of Ethereum’s outflow of funds is the recent issues with the Beacon chain that are possible on the mainnet post-merger.
Security concerns could become a massive issue for investors, especially institutions that tend to choose stable investments over speculative ones. The block reorganization may have caused a replication of all transactions and operations on the main network that have happened while it was present.
Cardano grows while preparing for summer releases
Previously, U.Today covered the network’s massive growth, with Cardano seeing a 368% year-to-date increase in daily on-chain transactions. Such an increase is linked to the release of the first decentralized applications and solutions built on the ecosystem.
The biggest and most awaited update for Cardano is Vasil Hard Fork that will bring several CIPs to life. Expected network upgrades will decrease transaction fees and processing time, making Cardano one of the cheapest and fastest networks in the industry.
At press time, Cardano is trading at $0.5 and losing around 1.6% of its value in the last 24 hours.
