Discussion: Charles Hoskinson’s $100M ADA Stablecoin Diversification Proposal
Cardano founder Charles Hoskinson is proposing to convert $100M in ADA into Bitcoin and stablecoins (USDM/USDA) to improve the network’s DeFi stability and liquidity. The goal? Address Cardano’s low stablecoin-to-DeFi ratio (10% of $356M TVL) compared to Ethereum (190%) and Solana (110%), based on DefiLlama data.
He argues this move won’t impact ADA’s price significantly, thanks to high trading volume and smart execution tools like TWAPs and OTCs.
This contrasts with Cardano Foundation CEO Frederik Gregaard, who previously said TVL isn’t the key metric — showing a strategic split within Cardano leadership.
Hoskinson’s approach aims to generate non-inflationary DeFi revenue while keeping energy usage low (Cardano uses only 168 kWh per million transactions, per NBX). The potential integration with Hydra scaling could amplify this further if validated by peer-reviewed research.
Is this a bold strategic shift or a risky play with community reserves?....
