#Cardano #Hoskinson #MarketImpact

Cardano’s co-founder, recently proposed converting $100 million worth of ADA (approximately 140 million $ADA tokens) from the Cardano treasury into Bitcoin and native stablecoins like USDM and USDA to boost the ecosystem’s decentralized finance (DeFi) and stablecoin liquidity.

Charles Hoskinson claims ADA’s daily trading volume, often hundreds of millions, can absorb a $100 million sale over 30-90 days using OTC trades and TWAPs, limiting price impact to ~0.5%.

However, critics warn that in current market conditions, this sell pressure could push $ADA to $0.30-$0.55, a 20-50% drop from its $0.69 price. With Cardano’s market cap at ~$24.6 billion and 35.34 billion $ADA in circulation, a poorly executed sale could test support at $0.60-$0.65, or even $0.50 if sentiment sours.