Cardano Under Scrutiny: K33’s Grim Forecast

The report questions the future development of Cardano, predicting a gradual decline despite its current market capitalization.

In a recent report, the cryptocurrency research firm K33 issued a dire prognosis regarding the destiny of Cardano (ADA).

Assessment of Cardano Future: K33’s Critique and Predictions

The organization contends that the absence of substantial activity on the cryptocurrency, will eventually render the ADA token meaningless.

K33 observed that for a smart contract network to be valuable, substantial usage of its native token is required. Conversely, they assert that the Cardano network lacks such utility or a dependable method to accomplish it.

While proponents of ADA highlight the substantial volume of 90,000 transactions that occur on a daily average, K33 fails to attribute significance to such transactions.

They contend that a consortium of proprietors fabricates blockchain activity, and exchange transfers are the only activities occurring on the Cardano network.

Additionally, K33 criticizes the Cardano network’s lack of stablecoins, the favored medium of exchange for DeFi altcoin transactions. The absence of any USDT or USDC on the Cardano network, according to them, signifies the non-occurrence of significant DeFi transactions.

The report additionally articulates doubt regarding the prospective development of ADA, asserting that notwithstanding its extensive duration, it has failed to garner any momentum.

Too many initiatives that began with zero traction and made grandiose claims about future technology updates or partnerships have died, according to K33.

Despite having a current market capitalization of $19 billion, K33 predicts that ADA will gradually vanish from the cryptocurrency landscape.

The present worth of ADA is attributed to its extensive presence on exchanges and its attractiveness to novices because of its designation as a “research-driven blockchain network that has undergone peer review.”

However, K33 cautions that these factors might not ensure the ADA’s long-term viability. They contend that ADA’s failure to appreciate in tandem with other more substantial smart contract tokens during market recoveries strongly indicates that the coin is fading.