The recent dialogue within the Cardano community has been charged with questions and controversies, prompting the Cardano Foundation to come forth with clarifications regarding its role and responsibilities. These discussions surged following Charles Hoskinson’s critical remarks aimed at the Foundation, causing a wave of inquiries from community members seeking clarity and reassurance regarding the organization’s direction and governance.
Foundation’s Clarification and Stance
In a detailed forum discussion, the Foundation emphasized that its efforts, while not always visible to the average user, remain vital for the network’s infrastructure. The post elaborates that the Cardano Foundation is fundamentally involved in the upkeep of essential services that bolster exchanges and custodians. “Our continuous efforts are critical for the accessibility and functionality of these platforms,” the statement asserts.
Specific tools and services mentioned include GraphQL—developed by IOG for enhanced DB-Sync efficiency—alongside a fast-track Java adaptation of the Rosetta API, among other technical advancements. The Foundation also highlighted its Token Registry and accompanying API, which now integrates both CIP-26 and CIP-68 support for improved metadata functionalities.
Moreover, the Foundation advocates that it runs a publicly accessible Token Registry API, which aims to alleviate complications and reduce costs for the onboarding of ADA and other native tokens—a commitment that began in 2021.
On the contentious issue of funding for new token listings and integrations, the Foundation articulated its stance: it will not finance specific Cardano Native Token integrations. The rationale is to prevent preferential treatment that could create an unbalanced ecosystem, therefore adhering to its foundational principles of equality and inclusion.
Notably, the Foundation addressed its involvement in on-chain governance since the introduction of constitutional governance earlier this year. It identifies itself as a member of the Intersect Constitutional Committee (ICC), claiming a substantial stake of almost ₳233 million distributed across multiple delegators. While voicing awareness of concerns regarding stake concentration, it noted that significant portions of its genesis ADA are delegated to community-centric representatives.
To support community engagement in governance, the Foundation has rolled out educational tools, a DRep voting mechanism, governance flowcharts, and has been intricately involved in coordinating hard-fork processes—initiatives geared towards empowering community participation in decision-making.
Another noteworthy point in the Foundation’s message was its reflection on the 2021 restructuring of its board—an issue often revisited by Hoskinson. The Foundation shared that after a “challenging” phase, steps were taken to establish a more effective governance structure with the assistance of an external consulting firm. This resulted in a newly elected board, signifying a collaborative effort towards stability and effectiveness.
Understanding the Context
The recent clarifications were strategically timed against Hoskinson’s unexpected AMA on August 22, where he intensified his long-standing disagreements with the Foundation concerning the distribution of the new NIGHT token from Midnight, alongside the Foundation’s role in the process. He asserted, “We built it. It’s my money,” justifying the restriction placed on the airdrop as a necessary measure to safeguard the network.
Furthermore, Hoskinson criticized the Foundation for missing opportunities and inadequately supporting the ecosystem’s growth. His discontent extends back to discussions about relocating the Foundation from Switzerland to a more community-friendly jurisdiction, emphasizing the need for democratic elections of board members to enhance accountability to token holders.
Questions have also emerged regarding the Foundation’s influence on governance strategies, with community members calling for transparency about future board elections and advocating for a structure that genuinely reflects community aspirations. The dialogue seems far from concluded, indicating an ongoing need for transparency and community engagement.
The current market valuation for ADA stands at $0.86, serving as both a focal point for discussion and a reflection of the community’s interests as they navigate the evolving landscape of Cardano.
