Bitcoin News Today: Cardano Founder Charles Hoskinson to Release ADA Audit in Mid-August

Cardano founder Charles Hoskinson has announced that an audit of Input Output Global’s (IOG) ADA holdings is nearing completion and will be released in mid-August. Hoskinson, who has been under scrutiny due to allegations of misappropriating $600 million in ADA, has vowed to livestream the full audit report to ensure transparency.

In a recent post on X, Hoskinson stated that the report is “shaping up quickly” after he requested more context and transparency in several key sections. He expressed confidence that the audit will be released on schedule, assuming the work continues at the current pace without any delays.

The audit comes in response to serious allegations made earlier this year, including claims that Hoskinson misappropriated $600 million in ADA through manipulation of the Cardano ledger. One notable allegation by NFT artist Masato Alexander accused Hoskinson of using a “genesis key” to seize control of $619 million during Cardano’s 2021 Allegra hard fork.

Hoskinson has vehemently denied these allegations, stating that they are false and deeply hurtful to the community. He emphasized that IOG never gave itself 350 million unclaimed ADA, and the remaining ADA that was forfeited after seven years of waiting was donated to Intersect.

To address these allegations and restore trust, Hoskinson plans to make the audit public via a dedicated website. The livestreamed reading of the report will provide full transparency, and the site will also include “historical artifacts from the sale.”

In addition to the audit, Hoskinson is considering legal action against those who made the allegations. He mentioned meeting with a defamation law firm to discuss options and strategy, indicating his commitment to clearing his name and protecting the integrity of the Cardano ecosystem.

Beyond the audit, Hoskinson has been focusing on expanding Cardano’s capabilities. Earlier this month, he confirmed talks with Circle and Tether to bring stablecoins USDC and USDT to the Cardano network. While the community views this as a positive development, Hoskinson cautioned that adding stablecoins alone won’t revolutionize the ecosystem.

He emphasized the need for foundational infrastructure and user adoption to grow the ecosystem beyond hype. Hoskinson introduced Cardinal, a new protocol designed to bring Bitcoin-native DeFi to Cardano. The protocol allows Bitcoin holders to access Cardano’s smart contracts and low fees while maintaining BTC’s liquidity and trustless nature.

Cardinal uses a non-custodial wrapping model built on MuSig2, HTLCs, and BitVMX to create wrapped BTC and Ordinals for lending, borrowing, and trading. These assets are pegged 1:1, transferable, and redeemable with fraud-proof mechanisms, avoiding rehypothecation and centralized custody risks. The protocol aims to bridge Bitcoin’s capital with Cardano’s programmability and is compatible with other Layer 1 chains.