Cardano network founder and the CEO of IOHK recently talked about the increasing concerns around the DeFi growth of the network. He started the conversation by sharing that the TVL locked in the Cardano network has reached $298.27 million recently. However, the increasing concerns raised by the investors of the network were no longer ignored.
Addressing the matter head-on, Hoskinson shared his take on settling down the worries and the concerns of the stakeholders. The recent remark was first sparked by Emin Gun Sirer, who is the CEO and founder of Avalanche blockchain and Ava Labs. Sirer recently took to Twitter to mock the relatively slow development and progress of the DeFi space of the Cardano network.
Competition Between Cardano and Avalanche Blockchain
When Avalanche CEO claimed that the network managed to amass more TVL within two days of its subnet launch in comparison to Cardano, he effectively started a feud with Cardano heads. Addressing the criticism, Cardano network CEO Hoskinson mocked that the TVL was pumped artificially with a massive premine boost.
Avalanche CEO proceeded to rank its blockchain as the 10th top in the international crypto leader board. Data projections from DefiLama suggest that the TVL for the Cardano network is currently valued at $298.27 million. The crypto aggregator also made it clear that the TVL without the presence of any staked governance tokens is around $219.42 million for the Cardano network.
Since January, the TVL estimates for the Cardano network have shown steady growth. The main driving forces behind the increasing staking interest in the Cardano network are DeFi projects like SundaeSwap and Minswap. It is worth noting that since the introduction of these Defi projects, Cardano network TVL prospects have improved by 50K percent.
The social media accounts related to Cardano network promotion frequently tout its massive DeFi success by flaunting millions of dollars’ worth of TVL on the Cardano network. However, a quick comparison of the counterpart DeFi project indicates that the Cardano network Is yet to catch up to the big players like Solana, Avalanche, and Terra.
DefiLama statistics regarding the biggest TVL and DeFi projects indicate that the Cardano network is currently sitting at 28th rank in this regard. Hoskinson has commented previously that the DeFi network boost will happen after the successful implementation of the Vasil hard fork. Vasil hard fork is a pipelining solution that upgrades the scalability of the DeFi network by improving the speed of the block distribution and reducing the dead-time between block processing by a massive margin.