Cardano Downplays Rumors of Abandoning Scaling Project Hydra

Cardano co-founder Charles Hoskinson took to the social media platform in an X post that labeled the pronouncement of calling off scaling project Hydra as pure fear, uncertainty, and doubt (FUD). 

Hoskinson hosed the allegations, indicating the network terminated the Hydra layer-2 scaling project. Instead, the IOHK chief executive hailed the team as productive in facilitating community engagement besides edging closer to release papers to enhance the protocol. 

Hoskinson Laments FUD Flooding and Misinforming Cardano’s Community

During its unveiling, the Hydra protocol hit the headlines in May last year as a uniquely designed protocol to reinforce transaction processing capacity. The Cardano-based protocol seeks to lower transaction costs on the blockchain, thus seen as the critical component of the network’s roadmap under the Basho scaling initiative. 

Hoskinson’s statement appears directed to the YouTube channel The Cryptoviser, which uploaded a clip on Sunday, March 17, alleging that Cardano shifted away from the Hydra initiative. The video cites Hoskinson’s recent announcement of integrating the scaling solution Hyperledge Firefly. 

The March 13 announcement by Hoskinson identified Hyperledger Firefly as a scaling solution utilized to deliver tech stack for enterprises seeking to build and scale Web3-based applications.  

Hoskinson downplayed the rumors of abandoning Hydra, informing his over 980,000 followers on X that the team is productive and inspired to deliver. He denied the rumors to create unfound uncertainty and doubt regarding Cardano’s commitment to the Hydra project. 

Hoskinson Defending Hydra Continuity

Hoskinson echoed the previous pronouncement, terming Hydra as ongoing. In October, Hoskinson had touted the Hydra properties in a scaling solution for the network. The video dismissed the FUD over Cardano’s network, which lacks a scaling solution.  

Hoskinson dismissed the allegations, questioning Cardano’s throughput, indicating that it does not constitute a TPS system. Instead, the network is a transaction-per-transaction system. 

Hoskinson admitted that Hydra adjusted slightly to accommodate middleware, allowing developers to build the decentralized applications (DApps) targeting the Cardano network.  

Hoskinson would again defend the Cardano network in a Monday, March 18 statement. He lamented the FUD wave targeting its collaboration with World Mobile. He clarified that the partnership targets reinforcing its scaling roadmap.  

Hoskinson urged caution amid the FUD raining over the weekend. He considered the origin as parties freaking out regarding Cardano’s potential and scaling roadmap. 

Meanwhile, Cardano has recorded significant gains in decentralized finance (DeFi). The network has seen the total value locked test all–time record levels at $520 million by March 14, as per DeFiLlama.  

Nevertheless, Cardano lags behind rivals, including Tron, Solana, BNB Smart Chain, and Ethereum, collectively accounting for $72 billion total value locked.

Tracking Cardano’s Market Performance

A Cardano’s (ADA) market performance review shows a 4.6% decline in the past 24 hours to exchange hands at $0.5967. However, Cardano had earlier tested the day’s high at $0.6286 before declining to $0.572624 as per CoinGecko data. 

A detailed assessment of Cardano’s performance shows a sustained decline in the past month. In particular, Cardano has plunged 20.1% in its seven-day run and 16.8% in the past two weeks. A similar decline is evident, with the token declining 4.4% in the past month, as per CoinGecko data. 

The general plunge in Cardano’s price is behind the 20% dip in price level in the past seven days. Cardano underperforms relative to Layer 1 cryptocurrencies, which have slipped by 10.90%, and the entire crypto market, which has declined 13.10% globally, as per CoinGecko data. 

Cardano trading volume has dipped to an average of $876.273 million in the past 24 hours. The 18.60% decline in the past day signals a plunge in market activity. CoinGecko data shows the struggles of ninth-ranked crypto by market capitalization of $21 billion is evident, with the token 80.58% below the all-time high price of $3.09 realized in September 2021. 

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