Cardano Founder Calls for Leadership to Drive Bitcoin DeFi Ambitions Amid 35% Yearly Loss

Charles Hoskinson, the founder of Cardano, has highlighted the platform's potential to become a key player in the Bitcoin DeFi (BTCFi) space, citing its powerful technological stack and growing ecosystem. He believes that projects like Minswap, which is planning to tap into Bitcoin’s massive liquidity, and tools like USDM and Lace Wallet are setting the stage for significant growth. However, Hoskinson has expressed concerns about the lack of strong leadership to drive this narrative, which he believes is crucial for Cardano to fully capitalize on the opportunity.

Hoskinson has been personally trying to fill the leadership gap, but he has faced challenges, including personal attacks and accusations of ADA theft. He described the effort as "brutal and expensive." In a candid post on X, he stated that Cardano is missing an “executive voice” and a capable foundation to drive its vision into the crypto mainstream. He emphasized the need for a strong executive presence and a compelling narrative to make the crypto world take notice of Cardano's innovations.

Despite these challenges, Input Output Global (IOG), Hoskinson’s company, continues to push the story forward. With the Rare Evo crypto conference on the horizon, Cardano has plans to address its internal structure, including updating its constitution, tackling governance issues, and launching a sovereign wealth fund to support its Bitcoin DeFi ambitions. However, Hoskinson believes that the broader community and ecosystem need to step up to achieve these goals.

Cardano's current market snapshot shows that the platform is down 35% this year but still up 56% over the past year. With 35.36 billion ADA already in circulation out of a 45 billion cap, there is still a large supply that could pressure prices if demand doesn’t rise. Its 2% annual inflation rate, higher than Bitcoin’s 0.82%, adds to the challenge. To counter this, Cardano plans to convert 5–10% of its treasury (about 140 million ADA) into Bitcoin or stablecoins using a TWAP strategy, similar to what Michael Saylor does for BTC buys, to avoid market shocks. Hoskinson hopes that future gains from BTC or stablecoins could fund ADA buybacks, potentially supporting its price long-term.

Bitcoin DeFi (BTCFi) refers to decentralized finance applications and protocols that leverage Bitcoin’s security and liquidity. It allows users to use their Bitcoin holdings for activities like lending, borrowing, trading, and yield generation, expanding Bitcoin’s utility beyond just a store of value. Hoskinson suggests that Cardano needs a dedicated “executive voice” and a capable foundation to drive its vision into the mainstream. While IOG pushes the narrative, the community and ecosystem need to step up. Future plans include governance updates and a sovereign wealth fund to fund Bitcoin DeFi initiatives.

Cardano has the technological tools, such as Minswap, Lace Wallet, USDM, Leios, and Hydra, to become the backbone of Bitcoin DeFi. However, it needs a strong “executive voice” to lead the narrative, fix internal governance, and effectively communicate its vision to the broader crypto world for this ambition to materialize. Hoskinson's call for strong leadership underscores the importance of strategic direction and effective communication in driving Cardano's growth and innovation in the competitive crypto landscape.