Recent weeks have shown sluggish participation across key network indicators, and the stagnation has increased the long-standing ghost chain narrative. An example of this criticism came from a crypto observer on X, who added a more blunt assessment of why the network appears to be underperforming, calling it a “ghost chain.”
A closer look at Cardano’s liquidity profile revealed gaps that are difficult to ignore. Its stablecoin supply of just over $30 million is exceptionally small for a blockchain with a market value in the tens of billions, making Cardano’s DeFi economy shallow compared to both its peers and even smaller networks.
He also highlighted concerns about supply mechanics, noting that although ADA is labeled as having a fixed supply, roughly 18% is still not in circulation, and staking rewards along with treasury emissions continue to enter the market without any burn mechanism. To him, these factors reinforce the idea that no one is using the chain in a meaningful way.
When the conversation is framed purely around visible activity, such as the total value locked in its DeFi protocols, active applications, or stablecoin liquidity, Cardano does fall behind faster-moving competitors like Solana and Avalanche. Those surface-level metrics make the ecosystem appear quieter than what one would expect from a top-tier chain.
According to data from DeFiLlama, the Cardano network currently has the 25th largest TVL, with only about $215.51 million in 61 protocols.
