#CardanoDebate 💡 Cardano’s $100M ADA Diversification Proposal: Strategic or Risky?

Hey Binance fam,

Cardano’s founder Charles Hoskinson just stirred the crypto pot with a bold treasury proposal: convert $100M worth of ADA into Bitcoin and Cardano-native stablecoins (USDM, USDA). 🎯

Why? To solve a critical issue plaguing Cardano’s DeFi ecosystem — a severe shortage of stablecoins.

⚠️ The Liquidity Gap

Cardano’s stablecoin-to-TVL ratio is under 10%. Compare that with Ethereum (190%) and Solana (110%) — and you see the challenge.

Hoskinson says this gap is “killing Cardano.” His plan: lift the ratio to 30–40%, inject liquidity, and supercharge DeFi growth — even hinting at building a decentralized sovereign wealth fund.

🛠️ Execution Plan

The sale would be gradual, using OTC and time-weighted strategies to avoid price slippage. Hoskinson estimates less than 0.5% impact on ADA’s price.

🧠 Community Split

Supporters love the long-term vision: more utility, more institutional interest, and less inflationary pressure on ADA.

Skeptics raise valid questions:

Is this the best use of treasury funds?

What about governance and regulatory clarity?

Even the Cardano Foundation’s CEO has signaled caution.

🔍 Bottom Line

Whether you see it as a DeFi catalyst or a treasury risk, this proposal could reshape Cardano’s future. Execution will be everything.

📢 What’s your take? Is this a genius DeFi play or a risky gamble with community funds? Drop your thoughts below!