- Roughly $31.07 billion worth of ADA is now staked on Cardano in anticipation of the launch of the smart contract on the network.
- The staked amount of ADA represents more than 71 percent of the token’s total supply.
More than $31 billion worth of ADA is now staked ahead of the Cardano Alonzo smart contract launch. The crypto community has been anticipating the launch of the anticipated hard fork, Alonzo, since Cardano’s announcement earlier this year. The long-awaited hard fork is drawing near with preliminary plans pointing to a launch sometime in August.
More than 70 percent of ADA staked for Cardano Alonzo smart contract launch
According to Cardano PoolTool, ADA holders have staked $31.07 billion, representing 71.29 percent of the total crypto supply. In addition, ADA staking addresses have surged over the past month since Cardano crossed the 600,0000 addresses milestone in early June. Moreover, the PoolTool currently shows that the total stake addresses have increased more than 11 percent to 670,125. In addition, the total stake addressed is split between 2,665 active pools.
On the other hand, 5,946,466 ETH is currently staked on ETH 2.0 network. With the current ETH price of $2,118, the staked ETH is worth $12.5 billion. The launch of ETH 2.0 will advance the Ethereum network from a Proof-of-Work (PoW) state to a Proof-of-Stake (PoS) consensus model. Upon the launch of ETH 2.0, the Ethereum network will see an increase in its speed and, at the same time, see a reduction in its gas fees. A Survey report revealed gas fees as one of the challenges facing the ETH:
45% of platforms built on Ethereum scalability and high gas costs among the top three problems constraining mass DeFi adoption.
Cardano vs. Ethereum
While Ethereum seeks to move to the PoS model, Cardano is already built on the model and possesses a solid technical foundation. Also, Cardano attends to a lot of the core challenges related to scalability and transaction processing on the Ethereum blockchain.
Additionally, Cardano seems to be competing with Ethereum with the building of its new converter that will allow ERC20 tokens to run on its PoS blockchain. Back in May, the Commercial Project Manager at Cardano’s parent company Input Output Global (IOHK), Francisco Landino, stated in a press release the Cardano ERC-20 converter was ready for launch. According to Landino, the converter will attract many Ethereum developers to join the Cardano network.
The initial usage of the Cardano ERC20 token converter will be for SingularitNET, and the converted token will be called “AGIX.” Users will need to log into their ERC-20 converter account and select a token, and indicate the amount they wish to convert to use the converter. After then, they will need to migrate the token by stating a specific Cardano address. After the migration, users may use the tokes for payments and other transactions from the Daedalus wallet.