3.9 C
Manchester
January 26, 2021
Image default
Altcoin

Cardano (ADA) overtook Polkadot (DOT) as the largest cryptocurrency staking network

Staking on Cardano’s network has attracted a large number of investors in recent weeks

Staking is drawing attention across the cryptocurrency market, with investors looking to profit from higher returns. With the staking sector growing significantly, it appears that Cardano (ADA) is causing the biggest upheaval in the sector. According Staking Rewards data, Cardano now has an impressive 69% of its ADA tokens in staking. These numbers surpass former leader Polkadot, who had 60.87% of his stock committed.

Reacting to the news, Jake Nicholson, the founder of the IOHK Foundation (developer of Cardano), compared his blockchain to Polkadot. In a tweet, Nicholson said:

“UX for $ ADA staking is light years ahead of DOT. At one point, I put $ dot in my ledger and I’m still trying to figure out how to view my balance. With $ ada, I simply click on the yoroi extension. This will be a great advantage for newcomers to space. “

Cardano is not the only staking network opening ground in the sub-sector. Last week, it was reported that Ethereum 2.0 staking at Kraken reached a historic record. Citing data from Jeremy Welch, vice president of product at Kraken, it was confirmed that exchange users had staked more than $ 1 billion in ETH.

Kraken users had caught about 45.5 million XTZ (worth about $ 120 million at the time) and 58 million DOT (worth $ 580 million). Added to the 307,904 ETH (US $ 368.5 million) in platform staking, they total more than one billion dollars in staking by users.

Kraken launched its Ethereum 2.0 staking feature in December. Just four days later, the exchange revealed that more than 100,000 ETH, valued at more than $ 60 million at the time, had been deposited into the service.

According to Welch, the increase in participation positions reflected increased investor and trader confidence in cryptocurrencies.

He stressed that crypto staking is changing people’s view of cryptocurrencies, with investors now looking for greater long-term gains. The reason why so many investors are interested in staking is quite evident.

Blocking funds provides easy access to passive revenue – even more revenue than in traditional savings accounts. The availability of staking pools and other online services also offers a low entry barrier. Staking also depends less on energy, like cryptocurrency mining, and presents much less risk than trade.

ADA runs to overcome BCH temporarily

In addition to the growth of its staking service, Cardano has also thrived in the open market. Last week, the currency temporarily overtook Bitcoin Cash to become the sixth largest cryptocurrency in market value.

The Bitcoin fork has regained its place, although CoinMarketCap data show that the difference in their market limits is less than $ 1 billion.

The blockchain is also in the midst of an update that is expected to grow as a proof-of-stake (PoS) blockchain. a Binance Academy report shows that investor sentiment around the blockchain appears to be improving, although some updates to its smart contract are still expected.

Source: BTC EG

Related posts

Polkadot (DOT) maintains gains despite sharp drop in BTC and ETH

Anupreet Kaur

Pornhub adds Monero as a form of payment after demonetizing Visa and Mastercard

Anupreet Kaur

Can ETH and altcoins benefit from Bitcoin correction?

Anupreet Kaur

Leave a Comment