Emily Walker
During a recent livestream on November 25, Charles Hoskinson, CEO of Input Output Global (IOG) and Cardano’s founder, raised serious concerns regarding the Wyoming stablecoin initiative, pointing out procedural issues and the exclusion of the Cardano blockchain.
Concerns From Cardano’s Founder
Hoskinson reflected on the hopeful beginnings of Wyoming’s crypto legislation, which was passed nearly two years ago with the aim of creating an asset-backed stablecoin. He noted that following the introduction of the bill, many Wyoming officials sought Input Output’s assistance for guidance on collaborating with the government.
For about 18 months, IOG was actively involved in the project’s development. Hoskinson stated, “We joined the subcommittee and provided extensive insights during numerous meetings about the necessary steps for the project’s success.” Their discussions included crucial elements such as issuance, compliance, and competitiveness with major stablecoins like Circle and Tether.
Nevertheless, he expressed disappointment over the hiring of an executive director with ties to the Ethereum ecosystem, who had allegedly suggested that the stablecoin should launch first on Ethereum, contrary to the bill’s goal of supporting a multi-chain system. “This contravened the intentions of the bill’s authors,” he contended.
Hoskinson criticized the commission’s method for choosing blockchain platforms, deeming it unfair and lacking transparency. “They set their own criteria and acted unilaterally, which led to the exclusion of Cardano without giving us a chance to present our case,” he pointed out, emphasizing the absence of opportunities for public feedback or contesting decisions.
He expressed strong objections to the commission’s actions, labeling them as illegal and unconstitutional, claiming that this process created an unfair advantage for other ecosystems and that the Wyoming government was wrongfully intervening in market dynamics.
He noted that many other blockchain platforms were also left out, not just Cardano, with nearly 30,000 blockchains affected. Hoskinson worried that such actions could tarnish Wyoming’s image as a supportive environment for cryptocurrency. “This marks a rare instance where a state representative made arbitrary decisions to limit participation,” he remarked.
Moving forward, Hoskinson revealed that IOG is considering various options, including possible legal repercussions. He mentioned that several lawmakers in Wyoming are unhappy with the situation and are contemplating whether to revoke or defund the initiative.
Despite these challenges, he reiterated his belief in Wyoming’s potential as a center for blockchain development. “I genuinely think Wyoming remains a superb location for cryptocurrency businesses, but fair practices are crucial,” he urged, especially given IOG’s considerable investments in the region. “I hope those investments prove wise and that we receive just treatment.”
He cautioned that if these trends continue, Wyoming might risk its attractiveness to crypto businesses. “To maintain its status as a favorable hub for crypto entities, Wyoming must ensure the rule of law is upheld and not favor specific players,” he warned.
In closing, Hoskinson expressed optimism for a resolution while remaining committed to seeking justice. “We’ll resolve this because this is just the beginning; it is not the conclusion,” he stated. “I live in Wyoming, and I’m here for the long haul.”
At the time of writing, ADA was trading at $1.04.