According to Dave (@ItsDave_ADA), Midgard has demonstrated significant leadership in Cardano's Layer 2 development with a live demo on the preprod network (source: Twitter, April 25, 2025). This advancement highlights increased scalability and transaction efficiency on Cardano, which could positively impact ADA liquidity and trading volumes. Traders should monitor the potential for mainnet deployment, as Layer 2 solutions typically lower transaction costs and enable faster settlements, potentially driving higher network activity and price volatility (source: Twitter, April 25, 2025).