Cardano is steadily gaining traction with a surge in new wallets and Grayscale's ETF proposal adding to institutional interest.
Increase in Cardano Wallets
In the past 12 days, Cardano's network has seen an addition of 20,000 new wallets, indicating rising interest. This includes participation in transactions, staking, and decentralized applications (dApps). The increase in wallets promotes a broader distribution of ADA and enhances network decentralization.
Grayscale's ETF Application
Grayscale Investments has filed with the U.S. Securities and Exchange Commission to launch a Cardano-focused exchange-traded fund (ETF). If approved, it would be the first U.S. ETF centered on ADA, giving investors regulated exposure to the digital asset. The launch of an ETF faces challenges due to existing regulatory issues.
Market Reaction and Future Prospects
Following the ETF application, ADA's price surged by over 13%, reaching approximately $0.80. This performance outpaced major cryptocurrencies like Bitcoin and Ethereum, highlighting market optimism. The growing number of wallets and institutional interest in ADA support the long-term prospects of the project.
The rise in new wallets and Grayscale's potential ETF indicate growing interest in Cardano. Despite regulatory challenges, the project's future looks promising thanks to its continued ecosystem development.
