Cardano Is Ready to Hit 8 to $10 in 2022 It’s already been a rough start of the year for Cardano. However, things are about to change So far since the beginning of 2022, the price of the Ada token has been experiencing a huge struggle to get out of that $1 zone.
Getting into the second week of January, the price of the coin is still just above a $1 Mark. While this performance is starting to worry some investors, there are others who believe that Cardano still has what it takes to hit the eight or even ten dollars, Mark.
So where is all this optimism coming from?
First off, it is no longer news that Cardano has built to maintain several upgrades on its network, coupled with the launch of a number of projects. And let’s not forget other projects that the Cardano community is currently working on.
As a side note, we have a couple of articles highlighting some of the biggest projects that Cardano has planned for 2022, so be sure to check those out .
All of these upgrades and projects have driven the blockchain to impressive heights in the past year, and the Cardano Foundation and IOHK are taking an even more remarkable approach in 2022. Cardano has got a number of partnerships with huge networks in the crypto space and beyond.
The idea behind Is of course, quite obvious because the more Cardano launches new projects and creates new partnerships, the more it attracts new users into the network. And so, in light of Cardano’s most recent approach to breaking past its current trading price, Ravendex a Cardano Dex has decided to launch its initial stake pool offering ISPO before the testnet release.
Every decentralized app works with a Dex. However, the Ada blockchain has been thriving in the crypto market even without the function of a DApp. That, however, has not been how the story ends.
Because Ravendex, a fellow crypto project, plans to build a Dex platform for the Ada blockchain behind developments like these, there is always going to be a benefit to the Cardano blockchain. And in this case, after the launch of the ISPO, there would be new features on the Cardano Dex Ravenx.
According to Ben Crypto, those new features would increase the adoption and total value locked on the Cardano ecosystem, as they are currently developing a decentralized Exchange IDEO launchpad sticking and lending platform where users can borrow collateralizing assets.
Another significance to this Dex and the Ada blockchain is that it acts as a decentralized platform where users can trade their Ada tokens without having to worry whether it’s safe or not.
Better put in the words of being crypto, Rivendx would materialize as a decentralized platform where users can exchange and even trade Cardano native tokens without having to worry about security complications.
Even more, this Dex team is planning to leverage the NFT industry such that any holder of the dollar sign Rav E token will be given the chance to earn more rave through staking and yielding farming. In the process, they are even likely to get NFDS, which by the way, are quite rare.
But we haven’t gotten to the best part yet. If there’s a platform where users stake their rave tokens to earn even more with time, this Dex will not only accept rave tokens but also accept Ada.
And then for users who would rather stake their Ada token and earn rewards in Ada and Rave, they can do so by staking their Ada to Rave stakehold after the launch of the ISPO.
According to being crypto. Taking this new upgrade into consideration, the predictions about the Ada token trading between eight to $10 before 2022 runs out might actually come true.
But wait, there’s more
Cardano recently acquired a Dutch asset management company, Axiom holding assets rounded up to about their 18. 5 billion pounds mark. In 2007, Axiom launched its very first impact investment fund, although its area of impact investing majorly included Microfinance and SME Finance, among others.
With almost 30 years of experience, Cardano believes this partnership is significant and it will be beneficial in the long run because it promises to improve the blockchain’s service provision. Professional Pensions puts it this way.
Godano said that this deal significantly enhances its service provision, particularly with investment funds, corporate sustainability analysis, and ESG advice, noting it would allow it to offer Best in class sustainable equity and fixed income portfolios in both the active and passive space, as well as sustainable stewardship inhouse the pensions, advisory and investment management firm now manages more than 50 billion of assets and employs over 500 people in the UK and the Netherlands across its advisory, investment management, and defined contributions businesses.
After the successful purchase of this company, various heads of the Cardano organizations were then brought in to form a new Actium board.
According to the Cardano Group CEO Michael Delatawa, this set of people brings in a wealth of talent and experience and gives our clients access to a broadened advisory and asset management position.
This deal is an important milestone in realizing our ambition to offer the best in class, sustainable solutions that maximize financial and social returns to pension funds and other long-term investors.
Just like Cardano’s Dex, this acquisition of Axiom has the potential to increase Cardano’s impact investment offering and with the massive customer base that the company controls.
This will certainly spill over into the Cardano blockchain. This spillover review is bound to have a ripple effect on the price of the Ada token, and it could boost it as high as the $10 Mark before the year runs out.
Cardano Hydra in the crypto space
Moving on, there’s recently been torque of Cardano Hydra in the crypto space. According to IOHK, Hydra is Cardano’s layer two scalability solution.
With cryptocurrencies, scalability is one of the biggest problems, and for this reason, Cardano’s parent company, IOHK, decided to expand the capacity of the blockchain by designing a layer two scalability solution on the Cardano blockchain.
In their words, it’s a blockchain network, a consensus algorithm that creates a secure and trustless environment by ensuring agreement on the transaction history. Cardano uses auroboros, an efficient proof of state consensus algorithm, and for this purpose, it’s very well suited.
But Cardano also, just like any other permissionless blockchain, faces challenges when trying to scale and achieve the throughput required to support applications in the real world, including payment, identification, game or mobile services, and things like that.
After all, the blockchain needs to reach a global consensus on each and every transaction. Iohk further explained that transactions on the blockchain incur fees because the people such as the Stakepool operator community who operate the network need to get paid.
The blockchain needs to create a balance between making fees low enough so that users are satisfied and then high enough so that there is a zero chance of a DDoS attack happening, and also creates a means to deal with the damage.
On that note, IOHK says that Hydra is a layer two scalability solution that seeks to address all these concerns and aims to maximize throughput, minimize latency, incur low to no costs, and greatly reduce storage requirements.
Cardano Hydro works by providing better ways to process transactions off-chain for a group of users while using the main chain ledger as a secure settlement layer. Here is a brief overview of how Hydra works from IOHK, as well as its proof of concept.
Hydra keeps security guarantees while remaining loosely coupled to the main chain. Most importantly, though, Hydra introduces the concept of isomorphic state channels specifically for Cardano. This means that native assets NFTs and Plutus scripting are available inside each HYDRAHEAD.
Many of the transactions currently headed by the main chain or applications running on the main chain can benefit directly from Hydra because it understands just the same transaction formats and signatures.
This greatly lowers the entry barrier to Hydra for existing potential customers and those who can reuse. Cardano’s tried and tested infrastructure for building wallets and applications interacting with the layer two systems.
It’s also important to make a note about transactions per second because too often this is used as the sole measure of success when it comes to scalability. Some people tend to rate a network on the basis of its maximum throughput, measured in transactions per second.
Instead, our focus is on latency the time that elapses until a transaction is confirmed as another, more practical way to measure the speed of blockchain transactions.
Finally, the general idea for Hydra is that it provides the appropriate layer two scalability solution that Cardano needs a third-generation utxo based blockchain that has the ability to support smart contracts.
In addition, Cardano will cut down costs and simultaneously increase throughput and maintain security. In the next few months, IOHK plans on introducing ways through which several Hydra heads are going to get interconnected to widen the reach of the scalability solution on the Cardano blockchain.