Ben Armstrong criticized Cardano's performance, saying that few people are able to name at least three Cardano-based projects.
"If you trade on the stock exchange, if you often use the project or its cryptocurrency, it means that there is more liquidity there, and that you save on commissions. Which affects the exchange rate, price slippage, and other similar things," Armstrong reasoned.
Another serious reason for Cardano's low efficiency is the lack of capital from institutional investors, the blogger suggested. Most of the liquidity is locked in staking, and as long as it remains there, people will not invest a lot of money in the blockchain.
"Look where the big money is, and where it's flocking to. TradFi comes to the crypto market, while ADA remains on the sidelines. This does not mean that the coin will no longer have a good bull run. But this means that the ADA will be limited until the larger fish are sated," the blogger added.
In response, Cardano founder Charles Hoskinson announced that Armstrong had always been friendly with him, and now it's sad to see the crypto influencer going down the wrong path.
Well @BenArmstrongsX was always friendly in person to me. Sad to see him go down this road.
Wish him well and hope for the best. https://t.co/b9lFeO70oe
Recently, Forbes called Cardano a "zombie network", along with the blockchains Ripple, Bitcoin Cash, Litecoin and Stellar. Meanwhile, Hoskinson talked about the upcoming Cardano updates, one of which will take place this year.