From just $ 315.9 million in 2015 to an estimated $ 20 billion by the end of 2024, the global blockchain market has come a long way over the past decade. This phenomenal growth underscores the potential of emerging but thriving technology and the opportunities it provides.

In September 2021, MELD Labs and Card Wallet, two emerging blockchain protocols, have joined forces to take advantage of some of these missed opportunities.

birth of a new strategic alliance

For those out of the loop, MELD Labs is the platform that developed the first decentralized non-custodial protocol for borrowing and lending fiat and cryptocurrency.

Wallet, meanwhile, is a non-custodial cardanocentric wallet that is also compatible with Bitcoin and Ethereum. CardWallet’s mission is to create a “Defi in your pocket” application for the Cardano ecosystem.

CardWallet is available on both Google Play and Apple’s App Store and the company will soon release a web version with a Chrome extension.

important thing to note here is that the alliance between the two entities did not come out of nowhere. Rather, it seems quite organic and is based on a set of shared values ​​and specific goals.

One of the main goals of the MELD-CardWallet alliance is to create a joint research and development group to address the challenges of the Cardano ecosystem. And this is precisely the main topic of discussion in this article today.

Let’s start with the main weaknesses in the Cardano ecosystem that MELD and CardWallet have noticed.

importance of the Cardano ecosystem and the challenges that await you

Cardano has created ripples in the broader blockchain ecosystem since its debut in September 2017. After all, it is a third generation blockchain that promises to help get rid of many of the shortcomings in previous generation blockchains.

Cardano blockchain uses a proof-of-stake consensus mechanism to solve three of the main problems faced by first and second generation blockchains, such as Bitcoin and Ethereum 1.0. se are:

Scalability

Interoperability

Sustainability

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Going forward, Cardano’s Ouroboros system promises transaction speeds of up to 257 TPS. It is much higher than the transaction speed on the original Ethereum blockchain (up to 20 TPS).

This leads to the question, where is Cardano lacking despite offering a clear advantage on multiple fronts?

Two big problems with the Cardano ecosystem

According to the MELD-CardWallet alliance, the Cardano ecosystem is currently facing two main problems. se are:

Adoption: Cardano, like almost all third-generation blockchains, is struggling to inspire mass adoption on a scale that its backers would have liked. You could partially attribute this status quo to the popularity of Ethereum, among other factors.

As a forerunner in the decentralized digital space, Ethereum has traditionally been the preferred destination for most decentralized applications and DeFi platforms. Although several rival chains have emerged, Ethereum is still in a dominant position.

And with Ethereum 2.0 now on the horizon, these rival chains, including Cardano, will need to up the ante to eat more of Ethereum’s market share.

capacity: capabilities of a blockchain ecosystem have a direct correlation with its adoption rate. This is because the growing capabilities of a network attract more real-world applications, which in turn leads to greater adoption. In today’s context, for example, by designing more and more community-centric projects, Cardano will likely be in a good position to inspire mass adoption on a large scale.

In other words, the possibilities are endless, but Cardano is still a “work in progress,” like a recent Bloomberg study. reclaimed. Certainly, this assessment is not without merit. Because, for example, while smart contract features are expected to come to Cardano in late 2021, some competitors have already implemented these features for some time.

Potential solutions

partnership between MELD and CardWallet promises to offer the following solutions to the aforementioned challenges:

Increase the adoption rate of Cardano by developing a suite of DeFi products for the Cardano community. goal here is to make these DeFi products profitable in terms of investment and at the same time make them accessible to both native and non-native cryptocurrency users.

Enhance developer tools and create innovative solutions that build on the overall capabilities of the Cardano ecosystem.

Solutions proposed by CardWallet and MELD

To implement these solutions, MELD and CardWallet jointly created a framework that includes the following:

CardWallet will integrate the MELD protocol to add Web 3.0 connectivity to your non-custodial wallet. With this move, business users will be able to take advantage of the functionality of the MELD protocol.

CardWallet will provide all necessary support for foreign DEX $ CW / MELD liquidity pairs.

MELD Labs will also allow CardWallet to access its MELD Vaults (LP), mUSD, mEUR, mBTC, mETH and mBNB, etc.

CardWallet users will also have access to deep liquidity pools, a move that will significantly reduce slippage during token exchanges.

MELD also agreed to introduce a MELD loan market for the $ CW token. In this way, users of both platforms can easily exchange $ CW for $ MELD and vice versa.

Both entities also agreed to establish a joint research and development group to identify and address deficiencies within the Cardano ecosystem. As a starting point, the alliance will jointly develop an Oracle infrastructure with Chainlink to add more meat to Cardano’s DeFi capabilities. Furthermore, the development of a core wallet technology to support the Cardano blockchain and native Cardano tokens (CNT) is also in the works.

refore, all aspects considered, MELD and CardWallet have embarked on an ambitious initiative that, if successful, could lead Cardano to the forefront of the ongoing blockchain revolution.

Download and try the CardWallet app: Google Play Store | IOS App Store

Click here for more information on MELD.

Do you want to check what CardWallet is doing? Click here.

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