• Greyscale Investment Fund declared an undervalued digital asset.
• Chainlink recently joined the project to accelerate smart contract development.
• Greyscale has added a 4.26% share of ADA tokens in their large-cap fund.

Crypto communities are the fuel that powers a project’s industry expansion. The strong community helps projects gain worldwide recognition. It also creates and strengthens a story of potential flipping market players, which includes and Cardano and other community-supported projects gain acceptance from the marketplace, which in turn attracts the attention of institutional investors.

Cardano Is Undervalued

Market hegemony is constantly challenged by new smart contract platforms. Greyscale created a new investment vehicle to allow institutional investors more exposure to digital assets like Bitcoin, Ethereum and Cardano. Greyscale Trust Fund now contains a 4.26% share in ADA, which was removed January 5th.

Greyscale has published a Greyscale report, which informs investors of Cardano’s current value. The report suggests that Cardano is an undervalued digital asset that differentiates itself from other digital assets through a “get it right the first time” approach, highlighting Cardano’s research-oriented development style.

The report further underlined that Cardano’s latest upgrade, ‘Alonzo,’ which includes the rollout of smart contract, is a difference-maker in their mission to overturn Ethereum. External reports show that Cardano is an “undervalued” asset as the network’s capabilities have extended to match those on new age ecosystems such as and PolkaDot.

As the report suggests, Cardano’s value is underestimated and cannot be compared with a similar network because smart contracts are a new functional addition. However, the report notes that Cardano “could see increased utility, adoption, usage and growth” if smart contract implementations are relentless, and dApps are adopted by the larger community.

To The Flipside

• Cardano’s concurrency issues remain unresolved, developers noted during the testnet.
• Cardano’s latent development process hinders their mass adoption incursion, despite a huge amount of community backing.

Hype Generating Machine

Following Charles Hoskinsons’ announcement that Cardano smart contracts can be deployed on the testnet, the value of ADA spiked, reaching an all-time high of $3.10, as traders speculated on the network’s value. Greyscale’s report indicates that Cardano achieved $1.6 million in transactions over the last month, 40% less than Ethereum and half as much than Bitcoin.

Steve Ehrlich, CEO of Voyager Digital, noted that many “institutional players are eyeing” it as a long-term HOLD. However, the network’s increased usability, funneled by smart contracts, could make some headway into the DeFi and NFT space, seeking more cost-effective and efficient ecosystems upon which to develop and scale their products.

Cardano’s smart contracts were introduced on September 12th, giving the network additional strings with which to expand its ecosystem. Cardano announced several partnerships in order to increase ecosystem maturity, as dApps are still being developed. Cardano and Chainlink have announced a partnership in order to speed up the development of smart contract technology, as well as facilitate price feeds from DeFi dApps.

Cardano’s future functionality is not yet clear, but the existing partnerships suggest that it could be a gen3 blockchain capable of competing with Ethereum and other advanced blockchains.

Why you should care

Cardano gaining expedited exposure to institutional investors reaffirms the project’s status, despite it being slow and methodical in its development. Their unresolved concurrency problems could hinder the growth of the gen 3 ecosystem, even though they have been the subject of extensive research.

EMAIL NEWSLETTER

Get the other side of crypto!

Upgrade your inbox and get our DailyCoin editors’ picks 1x a week delivered straight to your inbox.

[contact-form-7]
It takes just 1 click to unsubscribe.

Continue reading on DailyCoin