Cardano Allocates $100M For Defi & NFT Development, Can it Boost $ADA Price?

Cardano Allocates $100M For Defi & NFT Development, Can it Boost $ADA Price?

Cardano’s financial arm Emurgo allocated $100 million towards the development of the Defi and NFT ecosystem. The financial boost can help Cardano become a hotspot for upcoming Defi and NFT projects as the blockchain became smart contract compatible post-Alonzo upgrade. Emurgo’s CEO Ken Kodama said,

“We are more focused than ever on accelerating the development of Cardano’s ecosystem with a rich mix of decentralized services catering to a global community that is increasing in overall blockchain awareness.”

The funds would be directed towards two initiatives with a separate focus which would contribute towards the expansion of the Cardano ecosystem together. The first investment fund would be allocated by Emurgo Ventures that would be responsible for helping new projects and providing seed funds to startups building their product on Cardano. The second fund is dubbed Emurgo Africa would cater to the needs of projects in Africa in particular.

Charles Hoskinson, the Cardano founder has already announced his collaboration with legendary music artist Paul Oakenfold who would be releasing his next album on Cardano as NFT. Hoskinson believes Cardano’s new features would make it one of the most formidable forces in the post-regulation defi era as it has scalability and cross-chain support.

One of @ethereum's original co-founders, @IOHK_Charles, is working on a collaborative album with dance music legend @pauloakenfold.— (@TheEDMNetwork) September 29, 2021

Cardano ($ADA) In Consolidation Waiting For a Breakout

$ADA price has been consolidating under $2.2 for the past couple of weeks owing to the bearish September month and recent market corrections caused by China’s crypto ban. The altcoins are currently holding its 2.10 support losing which $2.0 will come into play. Analysts expect a bounce back in the last quarter of 2021 and many expect the surging development of the blockchain could push its price further.

The altcoin reached an ATH of $3.10 in the run-up to the Alonzo upgrade but hasn’t been able to replicate a similar price action since then. However, market analysts believe the next alt season could help $ADA to break past its current ATH.