- Volume on Cardano’s DEX surged above $66 million in the past seven days.
- Charles Hoskinson suggested that the network could host Bitcoin Ordinals better.
Cardano [ADA] Blockchain Decentralized Exchange (DEX) volume is up 60.6% in the past seven days. Indeed, an encouraging development, as the spike signaled growing liquidity and trading activity within the Proof-of-Stake (PoS) ecosystem.
Bring in more liquidity
According to DefiLlama, the rising activity caused volume to reach $66.88 million within the aforementioned time frame. More than $7.94 million came in in the last 24 hours alone.
Source: DefiLlama
While Cardano DEXs have seen a surge in trading, it is important to note that they primarily facilitate the trading of tokens built under the blockchain.
Recently, several meme coins have been linked to the network, as a result of which Minswap’s trading volume reached $6.91 million.
Another Cardano-based DEX that benefited from increased exchange activity and added volume was Muesliswap, which saw volume jump 167%.
DEXs are just one of many Cardano based projects that contributions to its Total Value Locked (TVL). But interestingly enough, lending protocols down the chain can also play a role. This led the TVL of the project up 15.30% last week.
The TVL is a metric used to measure the total value of smart contract assets deployed on a given Defi platform.
Source: DefillLlama
When the TVL rises, it means that investors had developed more confidence for the blockchain. And this was the case with Cardano, as the TVL increase improved the health of the protocol.
Hoskinson wants “better” for Ordinals
Despite the progress, Charles Hoskinson, the founder of Cardano, seemed unhappy with the current hosting infrastructure.
In a Surprise Ask Me Anything (AMA) session on YouTube he emphasized that Bitcoin ordinal numbers would fare much better on the Cardano ecosystem than where it currently operates.
The digital artifacts that rose to prominence earlier this year have received a lot of attention. According to Dune analysisthe total number of Ordinals Inscription was about to reach 10 million.
Source: Dune analysis
It is also noteworthy to mention that Bitcoin Ordinals also led to the introduction of the BRC-20 token standard. This caused transaction delays on the Bitcoin network. But that seems to be in the past as the market cap of these tokens dropped to $445.55 million.
If Cardano introduced such cross-chain capabilities in the future, it could potentially expand the range of assets that can be traded on its DEXs, including Bitcoin-based assets such as the Bitcoin Ordinals.
However, any integration of Bitcoin-related functionality on Cardano would require significant technical development and community consensus.