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Cardano Network Experiencing Strong Growth in New Wallets, Here's Why It May Be Happening

Tue, 12/13/2022 - 15:09
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Gamza Khanzadaev
Unusual activity spotted on Cardano network
Cardano Network Experiencing Strong Growth in New Wallets, Here's Why It May Be Happening
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A surge in the number of new wallets on the Cardano network was seen yesterday, as Cardano Blockchain Insights data shows. The metric, which had been showing a downtrend for a month since mid-November, interrupted the negativity with a sharp 58.7% rise in the rate of new wallets. On Dec. 12, 2,971 new wallets were created on the Cardano network, up by 1,099 from the day before.

The likely surge in new wallets on the Cardano network is related to the FUD around Binance, which is the largest staking provider of ADA, according to the Staking Rewards portal. Thus, the black-and-yellow giant, accused by the press of money laundering and sanctions violations, is the site of $600 million in ADA staking, representing 7.34% of all tokens in staking pools.

At the same time, this theory may have roots, but it is not supported by the rest of the blockchain insights, which have not demonstrated any uniqueness. Thus, out of more than 1,000 new wallets, only 47 have delegated funds to staking pools.

Almost $2 Billion out of Binance After Criminal Charges News: Details

Transactions on Cardano spike too

Perhaps the only thing that could also be mentioned is the sharp spike in transactions on the Cardano network. According to the same source, yesterday ended with 94,310 transactions on the blockchain, 40% above the December average.

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About the author

Financial analyst, trader and crypto enthusiast.

Gamza graduated with a degree in finance and credit with a specialization in securities and financial derivatives. He then also completed a master's program in banking and asset management.

He wants to have a hand in covering economic and fintech topics, as well as educate more people about cryptocurrencies and blockchain.