Solana co-founder calls Cardano’s proposed $100M treasury move to Bitcoin ‘so dumb’

Solana Labs co-founder Anatoly Yakovenko has opposed Cardano’s leadership’s caller connection to person portion of its treasury into Bitcoin.

In a June 16 station connected X, Yakovenko suggested the thought was misguided, arguing that it reflects mediocre treasury absorption and sends the incorrect connection to the Cardano community.

According to him:

“Projects should support 18-36 months of station termination database runway successful abbreviated word TBills, but that’s astir it.”

The contention stems from a June 13 connection by Cardano laminitis Charles Hoskinson, who suggested that the blockchain web could redirect $100 cardinal worthy of ADA from its treasury into Bitcoin and stablecoins.

According to Hoskinson, the extremity is to fortify Cardano’s DeFi capabilities and resoluteness ongoing issues successful its stablecoin ecosystem.

However, critics reason the connection suggests a deficiency of assurance successful the ADA token.

Crypto trader Aaron Dishner wrote that the determination could beryllium seen arsenic Cardano admitting that Bitcoin is much invaluable than its autochthonal token.

The Solana co-founder echoed these sentiments and questioned the request for immoderate protocol to clasp Bitcoin connected behalf of its users, saying:

“Why would anyone privation a squad to bargain and clasp bitcoin for them erstwhile they tin bash it themselves?”

Cardano assemblage divided arsenic Hoskinson defends strategy

Meanwhile, the connection has triggered mixed reactions wrong the Cardano community, with immoderate worrying that a $100 cardinal ADA sell-off to bargain Bitcoin could wounded the token’s price.

Hoskinson, however, dismissed those concerns, saying the ADA marketplace is heavy capable to sorb the divestment without crashing.

He besides defended the program arsenic a bold measurement to amended Cardano’s DeFi positioning, particularly successful stablecoin integration and liquidity. The Cardano laminitis highlighted the network’s competitory challenges successful a crowded crypto landscape.

Hoskinson noted that lone $33 cardinal successful stablecoins is presently deployed connected Cardano, a fig helium believes undermines the network’s semipermanent viability. He emphasized that the projected treasury displacement is simply a strategical effect to this shortfall, not a motion of weakness.

Despite the controversy, Hoskinson stood firm, arguing that disapproval won’t hole the underlying issues.

He stated:

“We person a means to hole it. Calling maine names, egotistical, a cancer, oregon dictatorial isn’t going to lick that Objective reality.”

Considering this, Hoskinson said a conjugation would taxable a connection astir the program astatine Rare Evo, an yearly lawsuit focused connected the Cardano blockchain.

The station Solana co-founder calls Cardano’s projected $100M treasury determination to Bitcoin ‘so dumb’ appeared archetypal connected CryptoSlate.