Cartesi Rollups Fuel a Massive 7-Day Run with CTSI Doubling in Value

While the broader digital asset market is weathering a slight downturn on the day, Cartesi has continued its recent climb up the ranks as one of the few projects still showing green over a 24hr span.  Zoom out to a 7-day view, and you'll see CTSI having doubled its value.

7D CTSI/USD (April 12-19)

So what has fueled this recent run upwards?  An ecosystem update highlighted by Cartesi Rollups.

The Update

Cartesi describes itself as an “application-specific rollup with a Linux runtime”.  In its recent ecosystem update, the project touches on a variety of initiatives it intends on undertaking over the coming months (eg. Community Grants Programs, ongoing rebranding, Honeypot DApp), however, the one that sticks out most is the activation of its Cartesi Rollups mainnet.

Although different networks have a different spin on implementation of rollups, they are all essentially built with the same goal in mind – to function as a scaling solution by moving certain computations from on-chain to off-chain.  By reducing mainchain congestion through off-chain migrations and transaction bundling, network speeds, costs, and overall performance can greatly improve.

With regards to Cartesi, the project has taken an approach which will see it utilize a custom version of what are known as ‘Optimistic Rollups‘.  This differs from ZK Rollups through use of interactive fraud proofs as oppose to validity proofs.  Cartesi indicates that this,

“…model was chosen because it imposes a higher ceiling to the size of computations that can be executed.  In other words, with this model the blockchain base layer is never responsible for executing entire computations: either there are no disputes and no computation takes place there, or, if a dispute occurs, it only needs to compute a single instruction to distinguish between misbehavior and honesty.  In either case, the results themselves are always computed off-chain, and as a consequence the computation involved can be massive.”

Layer-2 and Layer-3 scaling solutions like the one being proposed by Cartesi are currently all the rage, as projects attempt to prepare for the next run of adoption involving digital assets.  In order to facilitate and capitalize on expected network use, networks must boast the flexibility to support complex DApps while avoiding being bogged down.  If this can not be achieved, users will simply migrate to another option/network that can.

With regards to Cartesi, a first look at what its approach to rollups will offer should soon be on full display with the launch of an anticipated DApp known as Honeypot.

A Closer Look at CTSI

As the main utility and governance token of the Cartesi network, CTSI typically rises and falls with sentiment surrounding progress being made by developers responsible for the project.  To see the effect that an anticipated announcement can have on such an asset, just look to the increase in CTSI marketcap in recent days.

CTSI Marketcap on April 12th – $108M

CTSI Marketcap on April 19th – $220M

Traders responsible for this recent boom are largely located outside of the United States, with 40% of all CTSI trading volume occurring on Binance.

Final Word

Despite its promise, Cartesi remains a relative unknown in the digital asset market.  With its recent performance however, its quick rise up the ranks may soon change this.  For the time being, Cartesi remains reasonably priced with a marketcap that could continue ballooning without the same effort needed for those already in the top-50.

If developers responsible for the project are able to pull off each goal outlined in the its recent ecosystem update at a time when sentiment surrounding the overall market is quickly shifting positive, Cartesi will certainly be worth watching in the weeks and months to come.

To learn more about this project and its token, CTSI, make sure to check out our Investing in Cartesi guide.