#CardanoDebate

The Cardano debate revolves around several key issues:

Governance and Funding

- *Treasury Budget Proposal*: A proposed $225 million budget plan has sparked intense debate among the Cardano community. Some investors are concerned about potential inflationary risks and mismanagement of funds, while supporters argue that the investment is necessary for growth and competitiveness.

- *Decentralized Decision-Making*: Charles Hoskinson's comments on competitive bids for development work have raised concerns about the feasibility of decentralized decision-making and potential layoffs or relocation of staff.

Scalability and Roadmap

- *Scalability Challenges*: Community members argue that Cardano still falls short of its third-generation blockchain vision for mass adoption, citing unfulfilled promises on scalability and implementation.

- *Hydra and Leios*: Hoskinson claims that scaling is done according to the original roadmap, but community members question the completion of these projects.

DeFi and Stablecoin Liquidity

- *$100M DeFi Treasury Proposal*: A proposal to allocate $100 million from the treasury to fund stablecoin liquidity has sparked debate. Supporters see it as a strategic push for DeFi growth, while critics warn of short-term sell pressure.

- *Stablecoin-to-TVL Ratio*: Hoskinson aims to achieve a 33-40% stablecoin-to-TVL ratio to resolve Cardano's liquidity imbalance and enhance DeFi utility ¹ ² ³.

Leadership and Vision

- *Contrasting Views*: Hoskinson's proposal to convert $100 million worth of ADA into Bitcoin and native stablecoins has exposed contrasting views between Cardano's founding leadership and its foundation's current executive team.

- *Regulatory Caution*: The Cardano Foundation's CEO emphasizes regulatory compliance and enterprise-grade solutions, while Hoskinson prioritizes aggressive treasury deployment for growth.