Cardano and Hedera Join Decentralized Recovery Alliance, Aim to Enhance Web3 Security

In a series of recent developments, Cardano (ADA) has made headlines across multiple fronts. From enhancing Web3 security to addressing community concerns and facing bullish market predictions, here’s what’s happening in the Cardano ecosystem.

Cardano Joins Decentralized Recovery Alliance to Boost Web3 Security

Input Output (IOHK), the organization behind Cardano, has become a founding member of the Decentralized Recovery Alliance (DeRec Alliance). This coalition, which includes other blockchain heavyweights like Hedera, Algorand Foundation, and Ripple, aims to improve trust and security in the Web3 environment.

The alliance focuses on making digital asset recovery more efficient and user-friendly. Cardano will serve on the Technical Oversight Committee for two years. An open-source protocol is being developed to standardize recovery processes across platforms.

Charles Adkins, president of Hedera, described the alliance as a significant step towards improving transparency and trust in the digital asset sector.

Hoskinson Rejects ADA Burning Proposals Amid Community Debate

Cardano founder Charles Hoskinson has firmly pushed back against calls to burn ADA tokens, sparking a debate within the community. Some community members advocate burning 1.5 billion ADA to increase scarcity and drive value.

Hoskinson argues that burning Treasury funds would be harmful to the ecosystem. The Treasury is built from transaction fees and is meant to fund development and stability.

Current guidelines prohibit burning, but evolving governance frameworks may open up new discussions on Treasury management in the future.

Analyst Predicts Potential 1,000% Rally for ADA Against Bitcoin

Crypto analyst Dan Gambardello has identified a bullish divergence in ADA’s price action against Bitcoin, drawing parallels to a pattern observed before ADA’s previous major surge in 2020.

ADA currently trades at $0.32, facing weekly losses of 8.5%. The ADA/BTC pair shows a technical formation similar to that preceding ADA’s all-time high. If the predicted 1,000% rally materializes, ADA could reach approximately $3.553.

While the prediction is speculative, it has sparked interest in Cardano’s potential market performance.