#CardanoDebate

The new debate surrounding Cardano's founder, Charles Hoskinson, revolves around several key topics:

- *Treasury Funding and Resource Allocation*:

Hoskinson has been discussing the allocation of funds for the Cardano ecosystem, particularly regarding the integration of stablecoins like USDC. He emphasizes that Input Output Global (IOG), the research and engineering firm behind Cardano, will not use its private earnings to fund external projects, and instead, highlights the Cardano Foundation's role in nurturing the network's growth. This debate underscores concerns about how major blockchain projects allocate resources to enhance network utility.

- *Bitcoin Core Update Controversy*:

Hoskinson recently weighed in on a proposed Bitcoin Core update that would change how the network handles transaction data, specifically the OP_RETURN feature. Critics argue this could lead to slower transaction times, overloaded nodes, and blockchain bloat. Hoskinson's reaction brought attention to the issue, highlighting broader concerns about Bitcoin's development direction.

- *Governance and Inclusivity*:

A proposal for an in-person summit to assess Cardano's 2025 budget process sparked debate over inclusivity and elitism. Some community members feel that limiting attendance to "key" decentralized representatives (dReps) could undermine decentralization, while others prioritize productivity and manageable event sizes. Hoskinson pushed back against accusations of elitism, emphasizing the need for productive discussions.

- *Diversification of Treasury Funds*:

Hoskinson has proposed converting $100 million worth of ADA into Bitcoin and native stablecoins to address Cardano's stablecoin shortage and boost DeFi growth. This plan aims to achieve a 33% to 40% stablecoin-to-total value locked (TVL) ratio, enhancing liquidity and user experience in Cardano's DeFi protocols.