Time For A Cardano Reset? Crypto Pundit Claims Its DeFi Must Undergo Full Structural Overhaul

As the broader blockchain sector thrives, the Cardano network remains one of the leading blockchains among developers. However, the blockchain appears to have its limits, and a crypto pundit has declared that a full structural reset might resolve this limitation, making it more efficient. A Rebuild From The Ground Up Is Vital For Cardano The Cardano Decentralized Finance (DeFi) ecosystem is facing harsh criticism after a crypto pundit, Fallen Icarus, called out the leading blockchain for its core ￰0￱ statement, which was mainly targeting the network’s discrepancy, was shared by Andrew Throuvalas, the co-founder of ￰1￱ to Icarus, Cardano’s current DeFi landscape needs to be rebuilt from the ground ￰2￱ for his updated model of P2P DeFi, Icarus contends that Cardano DeFi made a mistake by attempting to imitate Ethereum’s “all-in-one” dApp concept, which incorporates all practical ￰3￱ include high throughput, liquidity, instantaneous settlement, best price enforcement, and censorship ￰4￱ a result of this approach, Andrew Throuvalas believes that the blockchain is facing several core problems, such as excessive cost and poor scaling, but it does not work in practice.

Furthermore, he highlighted that the solution focuses on layered scaling, which satisfies more ￰5￱ is because the approach offers optionality of tradeoffs to users without ultimately sacrificing ￰6￱ example of this is leaving sluggish but censorship-resistant ultimate settlement to a Cardano Layer 1 smart ￰7￱ is leaving high-throughput use cases to a less censorship-resistant but faster Layer 2 application, such as DeltaDeFi, the first Hydra ￰8￱ Model Available In The TradFi Landscape Throuvalas noted that this model is already operating successfully in Traditional Finance (TradFi) . Typically, when a trade is executed, the DTCC, a Layer 1 for TradFi orderbooks, simply updates account balances.

Meanwhile, the layer 2s provide every other thing that makes markets generate liquidity, and brokers like Fidelity offer swift trading. Interestingly, Throuvalas claims that this is the model that Bitcoiners have been focusing on, and no user is attempting to scale on layer 1 or change the Layer 1. Rather, L2s are handling high-throughput applications like lightning, which the Tier 1 CEXs have ultimately embraced despite all of its challenges. Presently, this solution is being actively used for token trades and Bitcoin ￰9￱ this model, layer 1 is not required to tackle every problem at ￰10￱ Bitcoin and Cardano were designed as ultra-secure and decentralized base layers, regarded as the pinnacles of Proof of Work and Proof of Stake security.

“Leave room for growth to the L2 solutions. It’s a long road, but the only one that makes sense,” Throuvalas ￰11￱ key updates, Cardano continues to cement its position as a leader in the ￰12￱ analyst LaPetite stated the network quietly concentrates on what is important , such as decentralization, security, reliability, and trust, while many chains pursue trends, TVL, and hype. Currently, the network is the only major chain that has never suffered a serious DeFi ￰13￱ to LaPetite, this is not luck; it is architecture.