#CardanoDebate has a lively debate in the community surrounding the proposal to use 140 million ADA (~100 million USD) from the Cardano treasury fund to increase liquidity for DeFi – specifically stablecoins and Bitcoin. Here are the main viewpoints:

⸻

🔴 1. Opposed: concerns about sell pressure and misplaced confidence

• A prominent account (Cardano_whale) warns:

“introducing 140 million ADA in sell pressure… could end with that supply being sold at $0.50”  .

This reflects concerns about front-running when the proposal is made public, which could push the ADA price down lower than planned.

• The Binance Blog channel also emphasizes:

“Critics … worry about potential sell pressure and governance risks”  .

⸻

🟢 2. Support: strategic argument, DeFi growth solution

• Charles Hoskinson counters that it is a “false narrative” and suggests gradually selling through OTC transactions or TWAP to mitigate price impact .

• Binance Blog remarks:

“Supporters believe this move will strengthen DeFi adoption, attract developers, and improve Cardano’s competitive position.” .