- Hayes asked about the network’s potential to build successful dApps.
- Cardano’s market cap/TVL ratio was one of the highest in the industry.
Bitcoin [BTC] proponent and co-founder of cryptocurrency exchange BitMeX Arthur Hayes ruffled some feathers by using unsavory terms for the popular blockchain Cardano [ADA].
Hayes attacks Cardano again
On a controversial note X message that has gone viral, the American entrepreneur has raised questions about the network’s potential to produce effective native-built decentralized apps (dApps).
“Which dApp on this list originally launched on Cardano, or has a Cardano offering that is heavily used?” Hayes asked after attaching a snippet of the most successful Web3 projects from the past year.
In what seemed like a tongue-in-cheek comment, Bitcoin billionaire founder Charles Hoskinson even asked to brief him on the performance of the Cardano network.
Charles Hoskinson’s answer
The bait was taken when Hoskinson responded. He asked Hayes why he despised Cardano. Hoskinson even said he admired Hayes as a person.
In response, Hayes indicated that his disdain for Cardano was not personal, and that he also admired Hoskinson. But Hayes continued to use harsh words for Cardano.
Well, it wasn’t the first time Arthur Hayes cast a shadow over Cardano. During a recent interview with Mint Bureau, he labeled Cardano as a “wannabe Ethereum” and its relevance in the blockchain space.
Did Hayes have a point?
Over the years, Cardano’s DeFi growth has lagged well behind its market cap increase, as shown by AMBCrypto’s analysis of DeFiLlama data.
At the time of writing, the chain’s total value was just $460 million, far less than chains on the same pedestal in terms of popularity. This is despite an increase of 147% in the past four months.
Source: DeFiLlama
Read ADA’s 2024-25 price forecast
Cardano’s market cap/TVL ratio was one of the highest in the industry, indicating a highly overvalued asset. Simply put, the native asset ADA did not justify its high market capitalization.
Such projects are generally less attractive to investors because they offer less room for growth. As of this writing, ADA exchanged hands at $0.59, down 6.68% in the past 24 hours, according to CoinMarketCap.