Reading 3 min Views 3 Published Updated
Recently, the Cardano blockchain ecosystem and decentralized platform have experienced an unprecedented high percentage of load, which has raised questions and concerns from the blockchain community.
At the same time, the price of the native ADA token has fluctuated for several months, and so far there has not been any significant gains and upward movements in the cryptocurrency markets.
Yesterday, an analysis of the report by dcSpark co-founder and blockchain contributor Cardano clearly depicted where the blockchain platform stands in terms of transaction load and what it means for users.
Cardano is currently 94% loaded, only 6% left – what to expect
Sébastien Guillemot, co-founder of dcSpark and contributor to Cardano, recently raised concerns about the ADA blockchain network ecosystem.
Related Reading: Bitcoin Block 788695: Transaction Fee of the Day Takes the Crown
In a tweet yesterday, Guillemot stated that the Cardano blockchain network is currently 94% loaded with only 6% remaining until it reaches its maximum capacity.
Cardano is currently at 94% load!
Only 6% left until Cardano is at max capacity
What does that mean, and how can you be prepared 🧵 pic.twitter.com/1TZsIUg10N
— Sebastien Guillemot (@SebastienGllmt) May 8, 2023
According to Guillemot, if the load reaches its maximum capacity at 100%, the transactions initiated by each user on the blockchain will be queued along with the transactions of other users.
No “Cardano node implements transaction prioritization,” he said, and so each user’s transactions will be processed on a first-come, first-served basis.
Guillemot also stated that this could mean longer waiting times for transactions to show up on the chain, and in extreme cases, user transactions may never make it to the blockchain. According to him, the result of this is because the light wallet’s Mempools reach the maximum capacity that it can hold.
Related Reading: Ethereum Gas Fees Soaring: What Does It Mean for Investors?
Another thing that users can look forward to once Cardano hits its 100% max capacity is the likelihood that staking pools will sell priority access to decentralized applications (dApps) and even some users.
Guillemot urged that when staking pools start selling priority access to select DEXs and dApps, it’s time for users to pay attention to how this move will affect one DEX to another, and to choose the right DEX to use at any given time.
The way forward to scalability
As Cardano approaches its peak capacity, the dcSpark co-founder suggested how to scale and reduce the load on the blockchain, touching on what users can expect if this happens.
Guillemot listed several ways to scale the blockchain, including increasing block sizes and migrating more decentralized applications (dApps) to Plutus V2.
He also suggested using layer 2 sidechains and blockchains to carry traffic from layer 1 and develop a data availability layer to carry more data from layer 1 so that there is enough room for more blocks.
At press time, ADA is trading at $0.363, up 0.91% from its daily low.
ADA is experiencing a sharp price drop on the daily timeframe | Source: ADAUSD on TradingView.com.
