Cardano (ADA) Crowd Sentiment Soars to 4-Month High as Social Buzz Hits Peak

Cardano’s crowd sentiment has soared, as social buzz hit the highest level in over four months. Santiment data revealed that there are over 3.5 positive comments for every negative comment about ADA.

In a surprising turn of events, Cardano's crowd sentiment has soared to its highest level in over four months, as social buzz hit a peak not seen since October 30th to November 6th, according to data from crypto analytics firm Santiment.

As of March 14, there were over 3.5 positive comments for every negative comment about Cardano (ADA) on social media, reflecting a strong dominance of optimistic sentiment. This high positive-negative ratio indicates that the majority of conversations surrounding the leading altcoin were upbeat.

One of the key factors that might have contributed to the social sentiment's rise is the U.S. Securities and Exchange Commission's (SEC) recognition of Cardano's use case. In a recent statement, the SEC highlighted Cardano's suitability for academic credentialing and government services.

Although there have been no official reports from the SEC on its classification of Cardano tokens, the source of ADA's bullish sentiment is still a subject of discussion.

Earlier this year, the SEC chair Gary Gensler said that the crypto industry has created two categories of tokens - those that are used for investing or speculating and those that have clear use cases.

"We have tokens that are created, largely through a coding event, to collect money from the public and those tokens are sold to investors. They are used for investing or speculating, and then there are tokens that have use cases, like in government services or academic credentialing, where the tokens are sold to consumers who will use them in the service or government service."

Gensler further stated that the tokens used for investing or speculating would fall under the SEC's purview, while those with use cases would be overseen by another agency, possibly the Commodity Futures Trading Commission (CFTC).

However, he did not explicitly name the agency that would monitor tokens used for government or academic services. But he did mention that Cardano's blockchain is best suited for academic credentialing and government services.

Upcoming SEC Meeting Key Agenda

Community members are now eagerly awaiting the upcoming meeting of the SEC and Crypto Task Force, which is scheduled for March 21. The key agenda item would be the definition of a security.

Moreover, applications for ETF’s for ADA and SOL, and others XRP, three major altcoins, have been submitted to trade as commodities and are on the agenda for the upcoming meeting. Many of these applications are set to expire on April 12.

If ADA is ruled as a commodity, the token will come under the oversight of the CFTC, which is generally seen as a more lenient regulatory framework. In the case of an ETF approval, Cardano would follow a similar regulatory path to Bitcoin and Ethereum ETFs, which could accelerate the adoption rate for ADA.

While regulatory decisions are time-consuming and complex, Cardano tokens would still be subject to other financial regulations even if they are classified as commodities and fall under the CFTC's umbrella.