Cardano Reports January Data and Proposes a Network Update

Blockchain technology lets you track what’s been happening in the network. By studying data and statistics, you can make decisions to improve it.

The Cardano Foundation announced on its Twitter account the on-chain data of January.

One of the most impressive numbers was the huge growth within the DeFi ecosystem with the Total Value Locked (TVL), with an increase of 9,037% over the previous month. Other data such as transactions and wallets also increased during January, as you see below:

Our January roundup of Cardano on-chain stats is here📈

Interested in knowing more about these stats?

Let's start with this..
Cryptionary term: Total Value Locked (TVL)

🧵Follow the thread to learn more! #Cardano #blockchain #DeFi pic.twitter.com/8LWpcqxDVn

— Cardano Foundation (@CardanoStiftung) February 1, 2022

January has been a very active month in the Cardano ecosystem, with the recent Decentralized Exchange (DEX) launch of ADAX, Pavia metaverse and SundaeSwap DEX.

Besides January data, Input Output, the development firm of the Cardano network, revealed an updated proposal. This update will start Cardano’s fourth phase of their roadmap named “Basho”.

The Beginning of Basho

Basho is the scaling phase of Cardano’s network. It will improve the scalability and interoperability of the network.

Input Output proposes two things: to increase the block size from 72KB to 80KB and also to increase script memory units per transaction from 12.5 million to 14 million in Plutus, Cardano’s smart contract platform. 

These two network changes will occur on February 4 to optimize and have better performance in the network.

Could These Changes Have an Impact on ADA Price?

ADA is the sixth biggest cryptocurrency by market capitalization with $35.08 billion and trading at $1.062 and is up almost 1% in the last 24 hours, but it is still approximately 62% from its all-time high of $3.05 in September 2021.

Although the positive data of January released by the Cardano Foundation, ADA is down 21.5% since the beginning of the year. The cryptocurrency found a local top at $1.60 on January 18, and found support in the last days at $1, as you see below:

With the updates coming up, network scalability should be better. With the start of Basho, this could bring opportunities to the network to grow faster, and we will see if Cardano’s fundamentals and improvements on the network would be reflected on ADA’s price.