The tensions within the Cardano (ADA) community lumps recently. The network has been under fire for months due to accusations of millions of fraud. Recently an independent report came out and founder Charles Hoskinson broke the silence. What exactly is going on? And should Ada investors be worried?
Allegations and breakage with Cardano Foundation
During a live interview on X, Charles Hoskinson discussed the allegations. He resolutely rejected the accusations about fraud and stated that the rumors come from employees within the Cardano Foundation, the independent organization that supervises the development of the blockchain network.
“At some point we as an ecosystem have to call these people to account,” he said. Hoskinson suggested to submit a motion of no confidence against the foundation, or even to put on a lawsuit in Switzerland, where the organization is located.
The live interview followed the publication of an independent report on 2 September. It was the conclusion that all accusations are unfounded. The investigation explicitly states that none of the five accusations (including theft, deception, manipulation of upgrades and unlawful allocation of ADA) has any basis.
How it all started
Since 2023, Charles Hoskinson, together with other early people involved with Cardano, has been under fire because of accusations of embezzlement. It is all about Ada-Tokens from the original Voucher Program (2017-2020) that were not claimed by early investors.
The suspicion arose because these tokens, after the exchanging period, were transferred to a fund managed by Intersect, a non-profit organization that supports the cardano ecosystem. The actual transfer of the remaining ADA took place in May and August 2023. There is talk of “fraud”. Until that time, the tokens were technically still available for cashing by original investors.
Critics argue that more than 300 million ADA was deliberately withheld, although the independent report shows that only 68 million ADA was not exchanged and was legally transferred to a fund to support the ecosystem.
Cardano must continue without a drama, says Hoskinson
The minds remain divided, but Hoskinson itself seems to be looking ahead again. In another video he published, he states that “it is time for Cardano to leave the drama behind.” Now that the audit report confirms the integrity of the team, he calls on the community to focus on innovation, cooperation and positive energy within the ecosystem.
Source: https://newsbit.nl/cardano-beschuldigt-van-miljoenenfraude-hoskinson-slaat-keihard-terug/
