Cross-chain interoperability will pave the future for blockchain and cryptocurrency. Cardano has become EVM-compatible through the Milkomeda EVM sidechain. A very exciting development for developers and users that may bring more bullish pressure to the ADA asset.
Cardano Is Compatible With Ethereum
Even though Cardano and Ethereum are two different ecosystems, there is merit in bridging the gap. Making these chains compatible with one another will enhance liquidity, useability, adoption. One cannot deny that Ethereum is the main blockchain for dApp and DeFi development, whereas most other ecosystems may never catch up under their own power.
While Cardano has several benefits over Ethereum, becoming EVM-compatible makes sense. The Milkomeda C1 project has been in development since last year and went live earlier this week. The main purpose of Milkmedia C1 is to deploy Ethereum dApps in the Cardano ecosystem. It provides developers with a more efficient and cheaper ecosystem while bringing more usability to ADA and other Cardano-based tokens.
As powerful as Milkomeda C1 is, users still need to transfer their assets to this sidechain. That is possible through a compatible wallet, including dcSpark’s Flint Wallet or Metamask. Funds need to be moved from the Cardano mainnet to Milkmeda, but the process is both cheap and efficient. Once the transaction is completed, users can begin experimenting with EVM dApps compatible with the sidechain today.
For now, there are only a handful of compatible dApps to interact with. That list includes MilkySwap, OccamX, Nomad, MultiChain, Celer, and MuesliSwap. More compatible applications will be enabled soon. Ethereum has much to offer to users, although developers may need to integrate Milkomeda support. Even so, these developments are bullish for Cardano in many ways.
Will ADA Remain Bullish?
It has been an exciting week for ADA holders. Cardano’s native asset notes a near 30% price increase, which is fascinating to behold. It is crucial to note ADA remains far removed from its recent all-time high of $3.09, but the ADA price heads back in the right direction. Pushing through to $1.5 will be the first objective, and it may take a while to materialize.
Overall, it is excellent to see broader interoperability within the crypto and blockchain ecosystem. However, few people expected Cardano and Ethereum to be compatible with one another in 2022. Although it requires a sidechain to achieve this goal, it remains a crucial development. If there is substantial support from Ethereum dApp developers, it can positively impact the ADA price over the coming months.
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