👀 In early March 2025, President Donald Trump announced the inclusion of Cardano's ADA token in the U.S. Strategic Crypto Reserve, alongside Bitcoin, Ethereum, Solana, and XRP. This move aimed to position the United States as a leader in the digital asset space.
Charles Hoskinson, the founder of Cardano, revealed that he was unaware of ADA's inclusion until the announcement was made. He stated, "We knew nothing about ADA being selected for the reserve. It was news to me," expressing surprise at the decision.
Initially, the announcement led to a surge in ADA's price, reflecting investor optimism. However, subsequent clarifications indicated that ADA would be part of a "no-buy" stockpile, meaning the government would hold but not actively purchase the token. This led to a decline in ADA's market value, with losses estimated at around $15 billion.
Despite the initial excitement, the lack of direct government investment in ADA tempered the market's enthusiasm. Hoskinson's surprise at the inclusion and the subsequent market reaction highlight the complexities and uncertainties in the evolving relationship between cryptocurrencies and government policies.
🔍Cryptocurrency investments carry risks. Therefore, this is not financial advice (No BSH recommendation). Hence please do your own research (DYOR) before making investment decisions.