Cardano’s Decentralization Will Be “Wake-Up Call” for Other Coins, Hoskinson Says

In a recent YouTube address from Col­orado, Charles Hoskin­son, the founder of Car­dano (ADA), stat­ed that Cardano’s increas­ing decen­tral­iza­tion will serve as a wake-up call for the entire cryp­tocur­ren­cy industry.

Hoskin­son under­scored the pro­jec­t’s relent­less com­mit­ment and progress despite crit­i­cism, empha­siz­ing that Car­dano is becom­ing more decen­tral­ized and impact­ful by the day. As an ecosys­tem built entire­ly from scratch, he tout­ed the Car­dano project as an enti­ty that con­tin­ues to grow and strength­en each month, a devel­op­ment that oth­er cryp­tocur­ren­cies should take note of.

Elab­o­rat­ing on the impli­ca­tions of Car­dano’s robust decen­tral­iza­tion, Hoskin­son spec­u­lat­ed that this devel­op­ment could even­tu­al­ly be insti­tu­tion­al­ized with­in cryp­tocur­ren­cy reg­u­la­tion. Decen­tral­iza­tion met­rics, he sug­gest­ed, could become a core com­po­nent of reg­u­la­to­ry stan­dards, serv­ing as a lit­mus test for assess­ing the legal­i­ty and reg­u­la­to­ry treat­ment of var­i­ous dig­i­tal assets.

He pro­posed that a more decen­tral­ized cryp­tocur­ren­cy might be treat­ed as a com­mod­i­ty or pro­to­col, akin to the sta­tus grant­ed to tra­di­tion­al­ly decen­tral­ized sys­tems such as the inter­net’s Trans­mis­sion Con­trol Pro­to­col (TCP).

He fur­ther warned of a poten­tial reg­u­la­to­ry divide, where more cen­tral­ized dig­i­tal assets could face unfa­vor­able con­di­tions under the law. 

Car­dano’s founder con­clud­ed by empha­siz­ing the impor­tance of self-sov­er­eign­ty in the cryp­tocur­ren­cy space. This prin­ci­ple, he insists, has been the dri­ving force behind the Car­dano project. 

His state­ment stands as a stark warn­ing against the poten­tial cen­tral­ized con­trol that could come with cen­tral bank dig­i­tal cur­ren­cies (CBD­Cs), and reaf­firms his com­mit­ment to the prin­ci­ples of sound mon­ey and liberty.