Latest news with #CharlesHoskinson
Yahoo
6 hours ago
- Business
- Yahoo
3 Reasons Cardano's New Bitcoin Treasury Plan May Backfire
Cardano might swap some of its native token for Bitcoin. That has a few bearish implications about what the chain's management thinks. It's also questionable whether it would accomplish the goals management described. 10 stocks we like better than Cardano › Cardano (CRYPTO: ADA) founder Charles Hoskinson wants to convert roughly $100 million of the cryptocurrency, or about 5% to 10% of the chain's treasury of 1.7 billion tokens, into Bitcoin (CRYPTO: BTC), plus a basket of Cardano-native stablecoins. The objective would be to shore up the chain's liquidity for its decentralized finance (DeFi) applications, and prove that Cardano can compete with its faster-growing rivals. The proposal sounds bold, but so far investors seem to be judging the move as bearish; the coin slid 6% on the news, capping off its fall of 35% this year so far. Here's why the market's skepticism is warranted, and why the plan could end up hurting the chain rather than helping it. Crypto treasuries exist to fund future development and buffer shocks. It's normal for chains to retain some coins that are issued by their competitors, and it's also normal for chains to retain some Bitcoin. In fact, it's necessary for DeFi projects to be able to access on-chain liquidity denominated in external tokens. The issue is that this late in the game, swapping a large cache of native tokens for an external asset is a message about management's confidence, or the lack of it, in Cardano's long-run value. Liquidity wasn't a major constraint for DeFi on the chain leading up to this discussion. So there's an implication by management that the chain's total value might actually grow faster if it holds less of its native token. Hoskinson argues the trade would be gradual and conducted over the counter to avoid slamming the price of Cardano. But the idea of diversifying suggests leadership fears continued dilution or sluggish demand for its own coin. That signal already rattled holders. If management won't keep its war chest in Cardano, why should outside investors keep it in their portfolios? Cardano's DeFi footprint is relatively small today. Its total value locked (TVL) was about $260 million as of June 17, with only $31 million of on-chain stablecoins. With the swap, Hoskinson hopes to lift the stablecoin-to-TVL ratio from roughly 10% to between 33% and 40%. That calculation doesn't really amount to much, though. Even if every dollar of the $100 million allocation landed inside Cardano applications, the chain's TVL would climb to about $260 million. That's still less than 1.5% of its nemesis Solana, which hosts $8.3 billion in TVL and $10.8 billion in stablecoins. The size of the gap would hardly budge, yet a large volume of Cardano would need to be sold to fund the experiment. And that sale pressure could easily eclipse the incremental liquidity benefit. The point of deeper liquidity is to attract borrowers, investors, and developers to the chain. Cardano's main obstacle is that few of those players are waiting on the sidelines right now. Its flagship decentralized exchange (DEX), Minswap, handles about $2.4 million in daily volume. The chain's biggest dollar-backed stablecoin has volume of a mere $50,000 a day. Without a reason for users to stick around, or compelling yields to offer to those who park their capital on the chain, new Bitcoin collateral risks becoming even more idle capital. And that would make the swap have a poor return for the chain, to say the least. Meanwhile, competitors keep raising the bar. Solana's DeFi user base is expanding, and Ethereum keeps slashing its gas (user) fees. Investors weighing where to deploy fresh capital will compare those ecosystems to Cardano's, and the comparison is not a favorable one for Cardano's holders. Cardano's community prides itself on deliberate engineering, but capital markets reward traction more than talk. A treasury diversification that scratches the surface of liquidity while advertising doubt about the coin's upside could end up a self-inflicted wound. Investors should monitor the situation, and perhaps consider selling the asset before it loses more value. Before you buy stock in Cardano, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Cardano wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $659,171!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $891,722!* Now, it's worth noting Stock Advisor's total average return is 995% — a market-crushing outperformance compared to 172% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Alex Carchidi has positions in Bitcoin, Ethereum, and Solana. The Motley Fool has positions in and recommends Bitcoin, Ethereum, and Solana. The Motley Fool has a disclosure policy. 3 Reasons Cardano's New Bitcoin Treasury Plan May Backfire was originally published by The Motley Fool
Mail & Guardian
a day ago
- Business
- Mail & Guardian
Charles Hoskinson wants to make ADA an AI crypto – what does it mean?
Crypto enthusiasts know there are few figures as influential as Charles Hoskinson, who is the co-founder of Ethereum and founder of Cardano. Hoskinson is one of the personalities who has been at the forefront of blockchain innovation for years, and lately he has been making waves with its plans to transform ADA, Cardano's native token into the backbone of a decentralized artificial intelligence ecosystem. Experts believe this is an ambitious and bold step in the convergence of two of the most transformative technologies of the moment, which are blockchain and artificial intelligence. In order to make an Discussing the vision Charles Hoskinson's latest statements and directions about projects reveal that he is quite interested in combining blockchain and AI to resist monopolization by big tech companies and preserve decentralization. At the core of his plan to make ADA an AI crypto lays the desire to democratize AI development and deployment, and ensure that no single entity can control its outcomes or growth. Charles Hoskinson has a vision for the future of AI systems: He wants them to be transparent, especially when it comes to decision making He desires for decentralized communities to ethically govern them He wants blockchain technology to be used to create immutable and verifiable systems And he plans to use decentralized computational infrastructure to power them. To this end, the ADA token and Cardano's blockchain are positioned to serve as the foundational elements in this emerging AI economy. Cardano could become the first AI-native blockchain ecosystem if it leverages ADA for governance, computation rewards, and data transactions. Is Cardano suitable for AI? Now this is a question worth answering because it's vital for the project to be suitable for artificial intelligence for the plans to be successful. The Cardano team, together with Hoskinson believe that Cardano has some unique features that make it well-suited for hosting AI systems. The list includes: Formal methods and peer review. Cardano has always stood apart in the crypto sector for its academic rigor. All features and updates are peer-reviewed and grounded in formal mathematical principles. Its approach builds trust, which is critical when dealing with sensitive decisions regarding artificial intelligence, like autonomous vehicles and medical diagnoses. Scalability via Hydra. Scalability has always been a sticking point for blockchain adoption. Cardano's solution is Hydra, a layer-2 scaling protocol designed to significantly increase transaction throughput. For AI, which often requires high-speed data processing, Hydra ensures Cardano can support the necessary bandwidth and latency. Interoperability. Cardano has a special approach to interoperability, which allows it to communicate with other data sources, blockchains, and which could enable AI systems to draw from a wider pool of information. Data is paramount for the success of AI, so this feature is critical. Governance with Voltaire. Voltaire, Cardano's governance system, allows token holders to vote on protocol upgrades and project funding. Applied to AI, this democratic model could allow communities to decide how AI systems are trained, how their outputs are used, and how ethical dilemmas are resolved. Reviewing the key components of Hoskinson's AI strategy Charles Hoskinson has a multi-layered approach to develop an AI-centric crypto ecosystem. Let's have a look at his plan. 1. Integrating AI Agents with Smart Contracts Cardano's smart contract platform, Plutus, will support AI-powered agents – autonomous bots that can negotiate, trade, and make decisions without human input. These agents can interact with decentralized finance (DeFi) protocols, manage supply chains, and even create new AI models by pooling resources. 2. Decentralized AI Marketplaces Using the Cardano blockchain, decentralized marketplaces for AI models, datasets, and computation power can be developed. Developers could offer AI models for rent, users could share data anonymously, and validators could earn ADA for contributing GPU power to AI computations. 3. AI for Blockchain Governance One of the more futuristic aspects of Hoskinson's vision is the use of AI in managing blockchain governance. AI could help detect fraudulent proposals, recommend funding allocations based on network data, and provide predictive analytics for protocol evolution. 4. Partnership with SingularityNET A cornerstone of this plan is Cardano's close collaboration with SingularityNET, a decentralized AI platform founded by Dr. Ben Goertzel. SingularityNET, which moved part of its operations from Ethereum to Cardano, is developing a decentralized network of AI services. The AGIX token (native to SingularityNET) is being bridged to Cardano, allowing for smoother integration between the two ecosystems. SingularityNET and Cardano share a common vision of democratized, ethical AI. Together, they aim to build 'Artificial General Intelligence (AGI)' in a decentralized way, potentially changing how AI is developed and controlled on a global scale. ADA could become the fuel for the AI economy Hoskinson sees Ada, As a payment method for AI services (e.g., model inference, training time, access to datasets). As a tool to incentivize annotation and data sharing. Reward method for decentralized computation providers. As a tool to vote on AI-related governance decisions. If this happens ADA will gain intrinsic value beyond speculation. The demand for decentralized artificial intelligence is higher by the day, so the demand for the cryptocurrency that powers it should follow the same trajectory, which could only reinforce its position as a key player in the new economy. A short look at the roadmap Hoskinson's roadmap for an AI-powered Cardano isn't expected to materialize overnight. The development is expected to progress in stages throughout 2025 and beyond. Key milestones will include: Launch of new AI-integrated dApps. Expansion of the SingularityNET partnership. Rollout of tools for AI agent development. Community governance of AI-related proposals. Integration of off-chain AI computation with Cardano nodes. As expected, academic research, community involvement, and transparent development will stay behind the transformation. If Cardano manages to enter the AI sphere, it could move from being a competitor in the smart contract sector to a pioneer in a new class of decentralized intelligence infrastructure.
Geek Girl Authority
2 days ago
- Business
- Geek Girl Authority
Cardano Could Become the Fastest Blockchain in the Crypto - If the Next Up Upgrades Go as Planned
At the moment, when the topic of scalable and fast blockchain arises, Cardano is usually overlooked in favor of projects like Avalanche and Solana, but this could change in the near future. Beneath its calm surface, Cardano is gearing up for some potentially revolutionary upgrades, suppose they all work according to the plan. The changes on the horizon could flip the script for this third-generation blockchain because it could enable it to become the fastest blockchain in the sector, which will definitely have an impact on the Cardano USD price. If you're interested in investing in Cardano, it's best to learn what exactly is changing so you can make smart decisions. Cardano's launch differed from others Cardano was developed by Ethereum's co-founder Carles Hoskinson , who came up with the research-first, peer-reviewed philosophy. Some crypto experts were skeptical when they heard about the academic approach he followed because the sector is fast-moving, but it seems that it was the right solution because it enabled him to build one of the most secure and stable blockchain platforms in the industry. Cardano has a layered architecture that allows it to separate the settlement and computational features, so it was designed for scalability from the beginning. However, since its launch Cardano has struggled with one major criticism, its speed. Transactions per second on the mainnet have historically lagged behind the named competitors, and this is why its developers have decided to bring the upgrades into play. Enter Hydra, Cardano's secret weapon At the center of Cardano's speed evolution is Hydra, a layer 2 scaling solution designed to process transactions off-chain while maintaining security and consensus through the main chain. In simple terms, Hydra works by creating multiple 'heads,' or mini ledgers, allowing individual users or groups to transact simultaneously without waiting for global network validation. Each Hydra head can theoretically process up to 1,000 TPS. Multiply that by multiple heads working in parallel, and the throughput potential becomes enormous. Some projections suggest that, at full capacity, Hydra could enable Cardano to handle over 1 million TPS, which means that it far surpasses any other blockchain currently in operation. It's a bold claim for Cardano, but one that's technologically grounded. The question now is not if Hydra can scale, but whether the ecosystem will be ready to adopt it at scale. We can only wait to see if this happens. Mithril could make the ecosystem lightweight, secure, and fast Hydra isn't the only upgrade planned for the blockchain, Mithril is also gaining the public's attention because it is meant to improve the speed and efficiency of node synchronization, which is essential for maintaining a trustless and decentralized environment. Mithril introduces stake-based multi-signature aggregation. In layman's terms, this means faster bootstrapping of nodes without compromising security, a significant advantage for lightweight clients, mobile apps, or decentralized finance (DeFi) services that demand quick access to accurate blockchain states. When Hydra and Mithril will work in tandem, Cardano not only will be able to achieve faster TPS, but also improved transaction confirmation, node syncing, and real-time decentralization. Together they could form the foundation of what might become one of the highest responsive blockchain ecosystems in the sector. The question that bothers many: Could Cardano have both speed and decentralization? Many crypto experts argue that when a blockchain opts for improved speed, it might trade off its decentralization. There were examples in the market of blockchains that opted to compromise their level of decentralization, or adopted more centralized validator structures to improve their transaction speeds. Well, this might not be the case for Cardano, which is attempting something far more difficult, preserving its decentralization while dramatically increasing its speed. With over 3,000 stake pools running the network and a strong incentive model for participation, the Cardano ecosystem remains one of the most decentralized in the industry. If Hydra and Mithril can succeed without sacrificing this decentralization, Cardano may well set a new standard in blockchain design—a rare balance of speed, scalability, and security. The developer ecosystem is warming up to Cardano Cardano's success is also connected to how open developers are to using it. Its speed success story is tightly connected to the developer activity because historically, Cardano dealt with criticism for its slow smart contract rollout. But since the Alonzo upgrade, which enabled smart contracts on the platform, developer activity has been steadily rising. In 2024 alone, the number of Plutus scripts, Cardano's smart contract language, increased significantly, and the blockchain saw record-high daily transactions. With tools like Marlowe (a domain-specific language for financial contracts) and the upcoming Aiken language (designed to simplify smart contract development), building on Cardano is becoming easier and faster. If developer adoption continues to grow in parallel with the infrastructure upgrades, the platform's throughput capacity will be more than just a technical boast, it will be a real-world utility. Cardano is part of a competitive sector If you want to understand the full implications of Cardano's possible changes, it's essential to have a look at its competition. As you already know, there are many altcoins doing similar things in the sector, and at the moment Solana is the project that holds the title of the fastest blockchain with over 65,000 TPS under ideal conditions, but as critics pointed out several times, it's prone to centralization and outages issues. Similarly, Avalanche offers sub-second finality but relies heavily on complex consensus mechanisms that have their own scaling challenges. Cardano has a unique approach, due to the layered architecture, Mithril's compression, and Hydra parallelization, so it can offer a path to high throughput without sacrificing its core value. Yes, it was not the first to the speed finish line, but it might finish the race as the most balanced solution. Conclusion: a sleeping giant poised to leap Cardano has spent years laying a meticulous foundation, quietly preparing for a moment that could redefine its place in the blockchain world. If Hydra delivers on its scalability promises and Mithril accelerates node performance, Cardano may not only catch up to its faster rivals, but overtake them entirely. And unlike many blockchain speedsters that sacrifice decentralization for velocity, Cardano could offer the best of both worlds: a truly decentralized, secure, and blazing-fast blockchain capable of supporting global-scale dApps, DeFi protocols, and enterprise systems. Jhaleil Swaby Steps Into the Arena for THE HUNGER GAMES: SUNRISE ON THE REAPING RELATED: Sunrise on the Reaping : Glenn Close and Billy Porter Latest Additions to Expansive Cast
Yahoo
4 days ago
- Business
- Yahoo
Cardano (ADA) Breaks Above $0.64 as Staking Addresses Top 1.3 Million
Cardano's ADA ADA token climbed 3% over the past 24 hours, trading near $0.6460 at midday Monday after reaching a high of $0.6502. The price advance coincided with a new staking milestone that reinforces the network's long-term strength. According to an X post by TapTools, Cardano has now surpassed 1.3 million staking addresses, cementing its status as one of the most widely staked blockchains in the world. This comes amid ongoing development within the ecosystem and follows founder Charles Hoskinson's proposal to allocate $100 million in treasury ADA toward Bitcoin and stablecoins to enhance DeFi liquidity. Despite recent whale outflows — amounting to over 270 million ADA in the past week — market sentiment has remained constructive. ADA maintained its upward trajectory throughout the analysis period, reflecting steady buyer interest. The token continues to trade just below its daily peak and shows signs of accumulation near the top of its current range. Technical Analysis Highlights ADA traded between $0.6219 and $0.6502 during the analysis period, marking a 4.55% intraday range. The price broke above $0.635 resistance and established support at $0.637, later reaffirmed at $0.648. Higher lows and steadily increasing volume confirmed a bullish continuation pattern. At 07:15–07:16 GMT, ADA jumped nearly 0.4% on volume exceeding 5.3 million units — the most active minute in the observed period. Toward the end of the analysis window, ADA moved from $0.646 to $0.649 before briefly consolidating around $0.646. The final hourly candle within that timeframe closed with a 0.5% gain, preserving the uptrend structure. Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see CoinDesk's full AI Policy. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
7 days ago
- Business
- Yahoo
ADA Drops 6% as Cardano Community Debates $100M Stablecoin Liquidity Proposal
Cardano's ADA token declined 6.01% to $0.6412 as the market reacted to both macro volatility and a heated governance debate over a proposed $100 million treasury allocation aimed at strengthening the DeFi ecosystem. On Wednesday, the TapTools team asked its followers on X what they think about the idea of deploying 140 million ADA (around $100 million) to provide liquidity for stablecoins like USDM and help power Cardano's growing decentralized finance sector. Not everyone is on board. Influential account @cardano_whale argued that introducing 140 million ADA in sell pressure under current market conditions would be damaging. He acknowledged the potential long-term DeFi benefit but warned that governance proposals are typically front-run by traders, meaning any public plan to sell ADA at $0.70 might end with that supply being sold at $0.50. Instead, he favored minting crypto-backed stablecoins like ObyUSD to avoid direct selling pressure. Cardano founder Charles Hoskinson pushed back strongly, calling the sell pressure concerns a 'false narrative.' In his view, the treasury could convert the 140 million ADA gradually over-the-counter or through algorithmic execution strategies like time-weighted average price (TWAP) orders to avoid market disruption. He emphasized that Cardano's lack of stablecoin depth is holding the ecosystem back, and this initiative could not only address that gap but also generate sustainable, non-inflationary revenue for the treasury. The community remains divided. While some see it as a bold step to finally give Cardano DeFi a stable foundation, others view the plan as premature, particularly given current market weakness and ADA's inability to hold above $0.68. The debate has become a litmus test for how Cardano balances long-term growth with near-term token economics. Technical Analysis Highlights ADA fell from $0.688 to $0.625 before bouncing back to $0.641, a 6.01% drop on the day. Volume spiked during the breakdown between 01:00–02:00 UTC, establishing strong support at $0.622. A 58% recovery off the lows formed a rising channel, with higher lows pointing to mild accumulation. Resistance at $0.645 has capped upward momentum for now, with buyers stepping in near $0.636. Volume peaks at 13:50 and 14:00 UTC (2.6M and 5.7M ADA) suggest renewed interest but limited follow-through. Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see CoinDesk's full AI Policy.
