In a livestream on November 25, Charles Hoskinson, founder of Cardano and CEO of Input Output Global (IOG), expressed serious concerns about Wyoming’s stablecoin project, highlighting what he perceives as procedural misconduct and unfair exclusion from the Cardano blockchain.
Cardano founder speaks out
Hoskinson began by recounting the initial optimism surrounding the Wyoming Legislature’s passage of a crypto law nearly two years ago, which was intended to allow the state to issue its own crypto-backed stablecoin. assets. “Almost immediately after this proof-of-concept bill was introduced, many people within Wyoming government and outside of government contacted Input Output to ask for our advice and suggestions on how we wanted to work with the government,” he said.
Over the past year and a half, IOG has participated extensively in the development phase of the project. “We decided to sit on the subcommittee and provided a lot of advice for almost a year and a half in numerous meetings on the things that would need to be done for such a project to be successful,” Hoskinson revealed. The discussions covered key aspects such as issuance and redemption processes, compliance, technology standards and strategies to compete with established stablecoins like Circle and Tether.
However, Hoskinson expressed dismay at the appointment of an executive director who he believed favored the Ethereum ecosystem contrary to the bill’s intent. “Under the law, this executive director came from the Ethereum ecosystem with, I guess, some experience at Polygon, and said from the beginning that the coin should be issued first in the Ethereum ecosystem, which was directly contrary to the intention of the authors. of the bill that wanted the Wyoming-based stablecoin to be multi-chain,” he said.
He criticized the commission’s selection process for blockchain platforms, which he called opaque and exclusionary. “They decided to create their own criteria and act as judge, jury and executioner in a very short period of time through a pre-qualification process,” Hoskinson said. He claimed that Cardano was excluded based on claims that it lacked certain capabilities, without the opportunity to demonstrate otherwise. “There was no opportunity for public comment, no opportunity for appeal or rebuttal,” he stressed.
Hoskinson minced no words about the legality of the commission’s actions. “I believe it is both illegal and unconstitutional, contrary to the state constitution and the good faith of state law,” he said. He argued that the process gave “an unfair competitive advantage to other ecosystems” and that “Wyoming government set out to pick winners and losers.”
Highlighting the broader impact, Hoskinson pointed out that many other blockchain platforms were also excluded. “It’s not just Cardano that has been excluded; Over 29,900 blockchains were also excluded from this pre-qualification process,” he noted. He expressed concern that the commission’s actions could harm Wyoming’s reputation as a crypto-friendly state. “This is the first time in state history that a state official has made the arbitrary and capricious decision to exclude people from participation,” he said.
Looking ahead, the Cardano founder indicated that IOG is exploring all available options, including possible legal action. “Going forward, there are many options, and at IOG we will pursue them – options at our discretion,” he said. He said several Wyoming lawmakers are “deeply unhappy and disturbed by this behavior” and are questioning whether the bill should be repealed or canceled.
Despite his frustrations, Hoskinson reaffirmed his commitment to Wyoming and its potential as a hub for blockchain innovation. “I believe Wyoming is still a great place to start a cryptocurrency business, and I believe many people are very well-intentioned,” he said. He stressed the importance of fair treatment, especially given IOG’s significant investments in the state. “I would like to believe that these investments have been wise and that we will be treated fairly and that the rule of law will prevail,” Hoskinson said.
He also warned that Wyoming risks losing its competitive edge if such practices continue. “If Wyoming wants to retain the crypto businesses that have formed there, it needs to ensure that there is a perception that it is still the best place, including a strong respect for the rule of law and a government that does not choose winners and losers,” warned the founder of Cardano.
Concluding his speech, Hoskinson expressed hope for a resolution but remained firm on the pursuit of justice. “We will address the issue and resolve it because this is just the beginning; This is by no means the end,” he said. “Remember, I live there. I’m not going anywhere.
At press time, ADA was trading at $1.04.
Featured image from YouTube, chart from TradingView.com
