Cardano enthusiasts call for treasury burns to pump ADA price.
Hoskinson explains how burning the treasury would effectively act as stealing.
He goes on to defend the ability of a truly decentralized ecosystem.
One of the most criticized blockchains in the crypto and web3 realm is Cardano. This blockchain is created and led by its CEO and Founder Charles Hoskinson, a co-creator of the Ethereum network. Despite its many groundbreaking accomplishments, Hoskinson and Cardano both face heavy criticism from the crypto community due to the price of ADA.
Cardano’s native cryptocurrency ADA has always been at a much lower price in comparison to all the other cryptocurrencies that were launched around the same time as Cardano. These assets include Polkadot (DOT), Ethereum (ETH), and many more. Despite the accomplishments of Cardano ADA's price remains lower than other altcoins.
Cardano’s Latest Ecosystem Debate
This has led many in the crypto community to believe that ADA is a dino coin, an ancient relic in the crypto space and is expected to die. However, long-term holders and seasoned blockchain enthusiasts stand by Cardano and celebrate its accomplishments alongside Hoskinson.
Even so, Hoskinson finds himself having to regularly defend Cardano and its many sister projects. The latest of these feats has come in the form of some users preaching for the burning of Cardano’s treasury to boost ADA’s price. Hoskinson goes on to address the issue which led to a short community discussion.
https://twitter.com/IOHK_Charles/status/1831712657550029164
He says that those advocating burning the funds of the treasury need to understand that the treasury isn't some pile of preprinted tokens that came from nowhere. He says the treasury is aggregated from a tax on block production and transactions meaning it comes from people building blocks and economic activity.
Why Cardano is a Truly Decentralized Blockchain
Thus, burning the treasury would mean effectively stealing from every SPO and ada holder if you burn the treasury. In response, one comment questions why this option was not discussed further beforehand. The Cardano Times says that if the project just planned things out better before Chang similar proposals wouldn’t have been made.
Hoskinson in turn says the entire point of a community-written constitution is to debate these types of issues and decide whether they should be open for debate or a foundational property of the system. I do not have the right to decide this for the system, regardless of how strongly I feel about it. Thus, delivering a truly decentralized network and ending the debate.
The post Hoskinson Defends the Cardano Ecosystem’s Operation and Highlights the Rights of a Truly Decentralized Blockchain appeared first on Crypto News Land.
