Cryptocurrency News

Cardano Faces 90%+ Blockchain Overload for Over a Week

Cardano is racing towards the alarming levels slowly. The growing blockchain project has witnessed a record number of activities on its chain in the last few days. This sudden surge in the network traffic has brought the network to its optimal memory usage, and the developers are burning the midnight oil to keep the network from falling apart due to increased activity. Cardano is not the only network to face such an issue. As the market stooped to the ground, many investors were anxiously transferring funds to and fro earlier. Solana’s network crashed during vital hours in the market.

Following this incident, Cardano is faced with a similar fate. However, the Cardano network is holding better than how Solana reacted to it. Cardano is currently experiencing a 90% blockchain load for the 8th consecutive day now. The number has been gradually increasing ever since last September. The Cardano team announced a 12.5% expansion to its block in the same month. Now, after well over a quarter of a year, the network has already been stretched to its maximum processing limits. 

On the 16th of January, the number posted the first-ever 90%+ activity. Since then, the number never went down, recording the highest ever activity of 94.1% on the 21st of January. This could mean that the network is having scalability issues. As Cardano has already lost the race for being the most popular eco-friendly blockchain to Solana, this issue might prove crucial for its growth. Despite the increased activity, Cardano’s price is falling slowly. The coin lost nearly 60% of its $3 peak last September and is currently trading at $1.05. Nevertheless, Cardano managed to hold firm even with such disheartening incidents and holds a whopping market cap of $33 billion. 

As mentioned earlier, scalability has become an issue for even the top dogs like Ethereum and Bitcoin. It is tricky to balance scalability while also preserving the outlook of the network. Bitcoin, in 2017, received backlash for increasing the block size as crypto enthusiasts believed that it might potentially affect decentralization. So, block size expansion is no longer an option for Bitcoin and Ethereum, and they naturally opt for solutions through layers for their blockchain. While Bitcoin is exploring lightning networks, Ethereum is experimenting with more sophisticated layer solutions with complex systems for validation.

Cardano, on the contrary, is planning to increase the block size to face network congestion. We can be sure that a network that contains scalability in its preamble would not leave the issue lightly. Cardano is currently developing improvements that would help the network even during such contingent situations. ADA is still considered by many analysts to be a great option for long-term investment. Earn more about ADA’s potential in this Cardano prediction.

Barbara Jeter
Barbara Jeter is a full-time reporter at CryptoWhile. She is a graduate with economics and social communication. She has written number of articles on financial markets before getting into crypto world. Her work has been published in some local publications. From past two years, she is writing on cryptos and blockchain technology.

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