. $100 Million Treasury Proposal Sparks Split
What happened: Charles Hoskinson and TapTools proposed deploying 140 million ADA (~$100 M) from Cardano's treasury into stablecoins and Bitcoin to boost DeFi liquidity .
Market reaction: ADA dropped ~6%, from about $0.688 to ~$0.625, before rebounding to near $0.64 .
2. Community Weighs Long-Term Benefit vs Short-Term Risk
Critics: Prominent holders warn the large selloff could be front-run, pressuring ADA near $0.50 .
Supporters (incl. Hoskinson): Argue sell‑pressure fears are exaggerated. Suggest gradual OTC or algorithmic sales (TWAP) to avoid market shocks .
3. Scaling Debate Gains Ground
Justin Bons from Cyber Capital criticized Cardano's low transactions per second (~18 TPS) and slow rollout of scaling features like Leios & Input Endorsers .
Advocates counter that Ouroboros Leios could support up to 10,000 TPS, and institutional interest is growing due to NASDAQ index inclusion .
4. Ongoing #CardanoDebate Themes
The debate centers on Cardano’s slow, academic-first development vs market demands for quick real-world utility .
Issues such as transparency in treasury use, governance execution, and scalable dApp infrastructure are hotly contested.
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📊 What It Means for ADA & Cardano
Factor Implications
Price Volatility Short-term dips likely if governance uncertainty continues
Governance Litmus Decision on treasury use may define community trust long-term
DeFi & dApp Growth Stablecoin liquidity could jumpstart Cardano’s ecosystem if executed well
Scaling Solutions Real-world adoption depends on tangible rollout of Leios, Hydra, IBC etc.
