#CardanoDebate Cardano's ADA token fell 6.01% to $0.6412, driven by market volatility and community division over a propos ed $100 million treasury allocation aimed at boosting t he DeFi ecosystem. The proposal, spearheaded by Ta pTools, suggests deploying 140 million ADA to provide liquidity for stablecoins like USDM and strengthen Car dano's DeFi infrastructure.

The idea has sparked heated debate. Prominent Card ano supporter @cardano_whale warned that introduci ng such large sell pressure, especially at ADA's current levels, could trigger a price collapse. He argued that g overnance proposals are often front-run by traders, m aking any public plan to sell ADA at $0.70 risky. He pro posed instead the minting of crypto-backed stablecoi ns like ObyUSD to preserve token value