Crypto research firm Messari has released an intriguing report on leading altcoin project Cardano (ADA) for the second quarter of the year. The report provides important insights into the performance of the Cardano network.
According to Messari’s report, average daily decentralized application (dApp) transactions on the Cardano network increased during the quarter, marking a third consecutive quarter of growth. dApp activity reached a daily average of 57,900 transactions in the second quarter, a 49% increase from the previous quarter. Minswap and various new dApps contributed to the overall growth.
Minswap, a Cardano-based automated market maker (AMM), became the most popular Cardano dApp in terms of transactions in the second quarter, with a monthly volume of 1 million transactions, representing a 167.5% increase from the previous quarter.
Cardano’s total value locked (TVL) in USD increased by 9.7% compared to the previous quarter and showed a growth of 198.6% since the beginning of the year. Cardano also climbed in the rankings of decentralized finance (DeFi) and rose from 34th to 21st in TVL across all chains by 2023. Furthermore, transaction activity on the Cardano network increased in the second quarter, with the average daily transaction volume rising by 1.9% from the previous quarter, reaching 68,800 transactions.
According to the report, Cardano’s average blockchain load exceeded 50% in the second quarter, while it was slightly below 40% in the first quarter. In May, the average daily load reached 81.2%, reaching a level not seen since the beginning of 2022. A 100% load rate indicates that all blocks are full (currently 90 kb per block), while a 0% load rate indicates that all blocks are empty.
ADA’s price and market capitalization declined in the second quarter after a 53.5% increase in the first quarter. Despite a 26.9% decrease from the previous quarter, ADA still recorded a 12% increase on an annual basis.
The number of daily active wallet addresses decreased from 60,200 to 57,800 in the second quarter, a 4% decrease compared to the previous quarter. This corresponds to a fourth consecutive quarterly decline in wallet address activity. However, Cardano’s treasury balance increased by 8.5% in the second quarter, reaching 1.30 billion ADA. Messari noted that the growth in previous quarters has been consistently around 100 million ADA.
As previously reported, the U.S. Securities and Exchange Commission (SEC) filed separate lawsuits against both Binance‘s U.S. arm, Binance US, and Coinbase, classifying various altcoins, including ADA, as securities. Cardano and its native asset ADA found support in the aftermath of the SEC’s move, following a court ruling in the Ripple case on July 13 that XRP cannot be classified as a security due to sales on secondary markets. This enabled Cardano to enter a period of recovery.