Altcoins News

Story: Hoskinson Denies $619M ADA Misuse Allegations

By James Thorp

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Cardano co-founder Charles Hoskinson has come under fire after a long-dormant controversy resurfaced, accusing him and the Cardano team of manipulating the project’s ledger to…

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The accusations gained traction after a lengthy thread posted by X user Masato Alexander began circulating widely on social media.

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At the heart of the claim is a function named returnRedeemAddrsToReserves, which, according to Alexander, filtered out unredeemed UTxOs (Unspent Transaction Outputs) tied to the…

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Charles Hoskinson was quick to respond. In a strongly worded post on X, he denied any wrongdoing and called the claims outright lies.

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“You keep lying to people,” Hoskinson wrote. “The Ada vouchers became unspendable after the hard fork.

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He also issued a direct threat of legal action, saying, “If you continue to imply that IO stole funds, I will sue you. This is my last warning.”

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Despite the warning, Alexander didn’t back down. Instead, he doubled down on his claims, suggesting he had insider knowledge and was prepared to escalate the issue further.

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While the controversy has triggered a firestorm of opinions, not everyone agrees with the accusations.

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Morgan explained that the majority of the funds—around 300 million ADA—had already been returned to the original ICO participants through legitimate channels.

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Meanwhile, ADA’s price saw a modest increase amid the controversy. At the time of writing, Cardano’s native token was trading at $0.7052, marking a 4.

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Whale activity is also on the rise, suggesting that larger holders may be anticipating a bullish trend. If momentum continues and ADA breaks through the $0.

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Although the controversy has cast a shadow over Cardano’s public image, the project’s fundamentals remain intact for now.

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