Cardano news

Cardano and Injective have connected via the Inter-Blockchain Communication (IBC) protocol on testnet, enabling cross-chain asset transfers between the two ecosystems for the first time. The beta integration allows ADA and INJ to move between the chains, with message passing between decentralized applications also supported. This development follows two years of engineering work, primarily on Cardano's side, to bridge its architecture with Injective's Cosmos-based framework. The immediate impact for token holders is minimal, as testnet assets hold no real value. However, the integration addresses a key criticism of Cardano's DeFi ecosystem being siloed, potentially opening it to over 115 blockchains within the Cosmos interchain. Mainnet deployment is planned but no timeline has been announced, and further security reviews are expected before that transition.

Cardano's ADA token rose nearly 10% in 24 hours to around $0.189 as the network shifts focus to its next major upgrade phase, the Dijkstra era, following the recent van Rossem hard fork. The rally appears driven by expectations of future scalability improvements rather than the already-completed upgrade. The Dijkstra era, part of the Ouroboros Leios research program, will introduce features like Nested Transactions and Linear Leios, with a target for mainnet delivery by the end of 2026. These upgrades aim to increase transaction capacity and support complex applications while maintaining decentralization and security. Governance planning is also underway. Despite the positive market reaction, ADA remains about 95% below its all-time high of $3.09. The sustainability of the rally depends on actual adoption and execution of the roadmap, as past upgrades have often led to consolidation after initial enthusiasm.

Large Cardano holders, known as whales, accumulated over 240 million ADA tokens, worth around $175 million, within five days, coinciding with a 22% price surge. The token currently trades near $0.19, with daily gains of 8-9%. This buying spree is part of a broader trend, as whales and sharks added nearly 820 million ADA over a six-month period earlier this year. The accumulation occurred during a quiet period with no major protocol updates, suggesting patient capital is deploying while prices are suppressed. Analysts point to Cardano's ongoing work on real-world assets and its history of deliberate development as underpinning confidence. Some analysts have floated price targets as high as $0.85, though that would require a 4x move from current levels. Traders are advised to monitor on-chain flow data, as the 100 million to 1 billion ADA wallet cohort has been a reliable signal for directional moves.

The Cardano Foundation has partnered with German data cooperative Reef Data eG to monetize personal data by pooling members' information, licensing it to businesses, and distributing royalties via Cardano's Reeve system. The EU Data Governance Act provides a regulatory framework for such intermediaries, but Reef has not yet indicated whether it will seek official registration. Reef's model differs from other data cooperatives like MIDATA, Swash, and DataVaults by focusing on commercial data sales and using Cardano's blockchain to record auditable royalty payments. Payout projections range from $1.25 per member per year in a bear case to $30 in a bull case, depending on buyer demand and membership size. Reef anonymizes data on-device before pooling, keeping personal information off-chain to comply with GDPR guidance. However, the distinction between anonymization and pseudonymization remains unclear. The partnership's success hinges on attracting buyers willing to pay a premium for consented, auditable data.

Cardano wallet SecondFi is shutting down after a software exploit allowed attackers to steal 16.1 million ADA ($2.4 million) from 374 wallets. The breach stemmed from a vulnerability in transaction signing software that enabled the derivation of private keys from blockchain transaction data. SecondFi, which replaced EMURGO's Yoroi wallet, said it will not resume normal operations despite patching the vulnerability. The Cardano network itself was not compromised, and hardware wallet users were not affected. Blockchain intelligence firm Groom Lake hired by EMURGO found that the main attacker was sophisticated and well-funded, with some indicators pointing to North Korea's Lazarus Group, though no attribution has been confirmed. SecondFi expects to release wallet export tools in early August and a zero-knowledge recovery portal later that month, but no distribution date for recovered funds has been set.

A bridge exploit on Wanchain infrastructure drained approximately 515 million Midnight NIGHT tokens from a Cardano-side lock address on July 20, causing the token to drop over 30% to a record low near $0.015. The stolen assets were valued at roughly $9-10 million at the time. Wanchain suspended the affected bridge, and multiple exchanges froze deposits and withdrawals to limit movement of the stolen funds. Preliminary analysis from BlockSec pointed to a possible signature reuse vulnerability in the TreasuryCheck validator. Cardano founder Charles Hoskinson noted that a 'war room' was formed across the ecosystem to monitor the situation, and audits are planned to determine responsibility. He emphasized that bridges remain a vulnerable part of crypto infrastructure and advocated for future designs using zero-knowledge proofs and identity systems like Midnight Passport to enhance security. The exploit did not affect Cardano’s core network or Midnight’s protocol. Despite the security incident, ADA rose nearly 8% to around $0.177 following the Cardano van Rossem hard fork, which implemented protocol version 11 with improved smart contract functionality. The broader crypto recovery also supported ADA’s price, with Bitcoin moving above $66,000. Santiment data showed ADA’s 30-day MVRV returning above zero, indicating recent buyers are now in profit, which could lead to selling pressure if the rally stalls.

Cardano-based wallet SecondFi will wind down operations after a security breach involving a cryptographic flaw led to the theft of about 16.1 million ADA (worth roughly $2.6 million). An investigation identified a sophisticated external actor with possible links to North Korea's Lazarus Group, though this is not confirmed. The breach affected 374 wallets. SecondFi is developing a zero-knowledge proof-based recovery tool, still undergoing testing and third-party review, with a planned August release. Users can also expect wallet export functionality to migrate assets. No direct reimbursement plan has been announced, and users have expressed frustration over the delayed timeline, as initial guidance suggested recovery within two weeks.

Midnight (NIGHT) token hit an all-time low of $0.01524 after an attacker drained about 515 million tokens from Wanchain's Cardano bridge, representing 97% of the bridge's NIGHT reserves. Wanchain suspended the bridge and is investigating. The attacker emptied the Cardano-side lock address between 14:46 and 14:55 UTC, selling roughly 290 million NIGHT on Cardano-based DEXs, pushing prices down. Around $0.019 at press time, NIGHT was down 27% on the day. The Midnight Foundation said its network, protocol, and core infrastructure remain secure and unaffected. Other bridged assets stayed untouched. The attack follows a recent $1.65 million loss at Allbridge Core, continuing a trend of crypto infrastructure attacks.

Cardano (ADA) rose approximately 7% on July 21, extending its monthly gain to 9%, but the rally may be a trap. Top traders are predominantly short, with a long/short ratio near 0.93, while retail traders are heavily long at 2.08, indicating a significant divergence. Derivatives data show the market is crowded with long positions: open interest is about $1.11 billion and funding rates are positive, meaning longs are paying shorts. Meanwhile, on-chain fundamentals are weak, with network activity at a 45-day low and DeFi TVL down 24% over the past month. The price rally appears disconnected from actual usage.

Cardano activated the Van Rossem hard fork on July 18, transitioning to protocol version 11. It is the network's first major upgrade ratified entirely through on-chain community governance without intervention from founding company Input Output. The upgrade lowers Plutus smart contract execution costs, adds new cryptographic tools, and requires unique cryptographic keys for stake pools. The fork was approved by DReps (77.63%), stake pool operators (52.7%), and the Constitutional Committee. ADA price remained flat around $0.1662 post-fork, with whales accumulating while smaller holders reduced exposure. The upgrade sets the stage for Ouroboros Leios, which aims to boost throughput to over 1,000 transactions per second.