Cardano has been on a tear recently. The crypto has surpassed other major cryptocurrencies and is still on a strong upswing. Its popularity grew on Thursday as a result of Coinbase’s addition of staking for the crypto currency.
ADA increased by around 18.09 percent to $1.13, a figure not seen in seven weeks. It is now the highest performing asset in the top ten list, with a 40% increase in the previous seven days.
While an overall rebound feeling in the crypto market has led to the ADA price rising, the coin’s gains look to be offset by additional cash streaming into the Cardano ecosystem.
The total value locked (TVL) within the Cardano protocol increased from roughly $130 million at the start of the month to over $421 million (including staked governance tokens) at press time, the greatest amount to date.
Despite Cardano’s explosive expansion this year, the network’s TVL still pales in comparison to those of its main DeFi competitors, such as Ethereum and Solana. According to DeFi Llama, an on-chain statistics platform, the two have a staggering $120.71 billion and $7.3 billion, respectively.
Coinbase, the largest cryptocurrency exchange in the United States, is allowing customers to receive rewards on their Cardano (ADA) assets.
Rupmalini Sahu, senior product manager at the trading platform, announced the addition of ADA to its staking capabilities in a blog post published on March 24. The new staking service allows retail consumers to engage in the Cardano network by staking their crypto assets in return for income.
Sahu added that ADA was chosen because it is presently one of the top ten largest cryptocurrencies on the market, as well as for its “more flexible, sustainable, and scalable” proof-of-stake blockchain design. Cardano, like Ethereum, features smart contracts, which let developers to design their own decentralized apps or mint non-fungible coins (NFTs).
Coinbase is presently giving 3.75 percent payouts for ADA staking, with participants required to retain their tokens for 20 to 25 days. When the term expires, customers can begin getting incentives as frequently as every five days. The return rates are heavily influenced by the quantity of program participants.