Cardanos Hoskinson Counters ADA Alive and Kicking for Institutions Ahead of Governance Upgrade

Charles Hoskinson defends Cardano against accusations of being “dead to institutions.”
Hoskinson refutes concerns, underscoring cryptocurrencies’ aim to disrupt traditional finance rather than seek institutional validation.
Founder of Cardano, Charles Hoskinson, has reacted to remarks by crypto influencer Ben Armstrong, also known as BitBoy, who asserted that Cardano (ADA) and Polkadot (DOT) have lost favor with institutional investors.
Armstrong reignited these claims on July 3, echoing his controversial stance first aired in an April YouTube video, where he labeled Cardano and Polkadot as ‘dead’ in the eyes of institutional investors. Armstrong bases his argument on the perceived lack of institutional support for these projects compared to more established coins like Ethereum (ETH) and Solana (SOL). He suggests that while ADA and DOT may yield returns, they won’t match those of coins embraced by institutions.
“I want to be clear. Recently, I said $DOT & $ADA are both dead to institutions. Which ultimately will lead to their death as legitimate investments. This DOES NOT mean they won’t pump and offer returns to investors in this bull run. They will. Returns will just be mid.” – Ben Armstrong aka BitBoy Crypto (@BenArmstrongsX), July 3, 2024
Armstrong points out that as interest shifts to newer projects, there’s potential for higher returns, making it tougher for established projects like Cardano to attract substantial investment in the future.
Hoskinson’s Swift Response
In response, Hoskinson swiftly countered Armstrong’s assertions, highlighting a fundamental concept of cryptocurrencies. He stressed that cryptocurrencies are designed to challenge and supplant traditional institutions rather than gain their approval.
“I guess I got to learn the banjo to make Ben happy,” Hoskinson sarcastically tweeted, implying a misconception about the core purpose of cryptocurrencies.
He also highlighted upcoming innovations such as layer-2 scaling solutions like Hydra and partner chains like Midnight and Prism, which he believes will strengthen Cardano’s market position. Hoskinson’s response underscores his commitment to Cardano’s original vision and its potential to achieve significant milestones in the crypto space.
Armstrong isn’t the only critic of Cardano. In February, former BitMEX CEO Arthur Hayes also delivered scathing criticism of ADA, dismissing its relevance and doubting the demand for dApps on the Cardano blockchain.
“For all you $ADA believers, what dAPP on this list originally launched on Cardano, or has a Cardano offering that is heavily used? From my very limited knowledge, looks like none of them do. That’s why $ADA is dog shit. @IOHK_Charles pls educate me. Yachtzee pic.twitter.com/riQORI6Ipy” – Arthur Hayes (@CryptoHayes), February 21, 2024
However, Vanessa Harris, a crypto analyst critical of Cardano’s governance structure in the past, recently extended an olive branch to the Cardano community. On July 2, Harris publicly expressed her support for the community, announcing that she would continue holding her ADA tokens rather than selling them, allowing the ecosystem to thrive.
“I’d like to apologize to the Cardano community. I’ve been overly harsh in my criticism of the ecosystem. In the last six months, I became increasingly concerned about what I view as existential issues for Cardano.” – Vanessa Harris
Market Performance and Community Response
Despite the controversies, Cardano has demonstrated positive movement in the market. As of Saturday, Cardano was trading at $0.3578, marking a 3% increase for the day. This upward trend boosted Cardano’s market capitalization to $12.6325 billion, representing 2.87% of the total cryptocurrency market cap.
However, the past week has been less favorable, with Cardano experiencing a 10.31% decline in value. Trading volumes have also been significant, with $367.5197 million worth of Cardano traded in the past 24 hours, marking a 51% decline from the previous day. The fluctuations underscore the volatility and ongoing debates surrounding Cardano’s long-term prospects.
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