#CardanoStablecoin"

#Cardano Founder Proposes $100M Treasury Plan to Boost DeFi – ADA Drops 6%**

**Summary:**

Charles Hoskinson, founder of Cardano, has floated a controversial proposal to deploy **140M ADA (worth ~$100M)** from the project’s treasury to accelerate DeFi growth. The plan involves purchasing **Bitcoin (BTC)** and Cardano-native stablecoins (**USDM, USDA, IUSD**) to strengthen liquidity and adoption.

**Key Details:**

🔹 **Market Reaction:** ADA fell **6%** following the announcement, reflecting investor uncertainty.

🔹 **Community Split:** Supporters praise the move as a bold push for ecosystem maturity, while critics warn of risks tied to market volatility and governance challenges.

🔹 **Strategic Goal:** The proposal aims to deepen Cardano’s DeFi ecosystem by increasing stablecoin liquidity and diversifying treasury holdings with BTC.

**Why It Matters:**

If approved, this could mark a major shift in Cardano’s treasury strategy, signaling a more aggressive approach to DeFi expansion. However, the mixed reaction highlights concerns over centralization risks and whether such a large treasury allocation is justified in current market conditions.

**What’s Next?**

The proposal will likely undergo community voting, putting Cardano’s decentralized governance to the test. The outcome could set a precedent for how blockchain projects manage treasuries in volatile markets.#CardanoDebate