Charles Hoskinson provided the most detailed statement regarding the controversial Bitcoin (BTC) amounting to 1,096 coins of Cardano, tracing the origin of these funds back to the 2016 audit concerning the initial ADA coin sale.
The founder of Cardano (ADA) mentioned the three auditors alongside the Bitcoin price from that year, simultaneously shifting the haunting questions that have followed the project since day one.
Hoskinson traced Bitcoin at $1,096 to an audit from 2016.
During this weekend's live stream, Hoskinson stated that the questioned amount stems from an email by Michael Parsons in March 2016, when he was the chairman of the Cardano Foundation.
Parsons claimed compensation for auditing the crowdsale that raised around $62 million USD between 2015 and 2017, mostly from Japanese investors.
He pointed out Bitcoin's historical price to show that this audit cost is less than what critics claim.
The closing price of Bitcoin on March 13, 2016, was $414, Hoskinson stated.
Independent data indicates that the Bitcoin price that day was around $412, supporting his figures. From this calculation, he stated that the compensation covered the three identified auditors.
Thus, this audit cost is around $400,000 USD for three auditors: Michael Parsons, John Maguire, and Bruce Milligan, for auditing the crowdsale in Japan to confirm there was no wasteful spending or fraud.
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Bitcoin at $1,096 would be worth around $70 million USD today, which keeps the debate going.
The clearer detail is who received the compensation. Parsons resigned as chairman of the foundation in 2018 after IOHK and EMURGO publicly split with him over issues of disclosure and governance failures.
We can announce that there has been a change in the Cardano Foundation Council. Michael Parsons has resigned with immediate effect, Pascal Schmid takes over as Chairman on an interim basis. https://t.co/hg8bvVykQy
— Cardano Foundation (@Cardano_CF) November 13, 2018
Hoskinson pointed out that these questions have malicious intent.
Hoskinson argued that the repeated calls for disclosure aim to spark controversy rather than resolve issues.
The purpose of the accusations is not the accusations themselves, but the anger.
He mentioned that every answer just triggers new accusations, draining the funds that should have been used to develop the ecosystem.
This situation arises while he has openly criticized the foundation and stepped back from daily ADA promotions.
Braziel is seeking evidence.
Investor Thomas Braziel stated that the AMA answered one question but created several new ones. He is requesting invoices, approvals, and payment documentation.
The question is not whether the audit should cost money, but where the 1,096 BTC went, who received it, and why.
Braziel also questioned why IOHK controls about 95% of the raised BTC, while the foundation only holds a small fraction.
Pressure is increasing as the foundation's reserves dwindle. ADA is trading near $0.1669, down about 3% in a day, and the token ranks 17th by market cap.