Charles Hoskinson, the founder of Cardano, recently expressed strong disapproval over the exclusion of the blockchain network from the Wyoming Stablecoin project. The project aims to launch the U.S. dollar-backed stablecoin Wyoming Stable Token (WST) in the first quarter of 2025. Despite Cardano’s advisory role in the project over the past 18 months, Hoskinson criticized the Wyoming Stable Token Commission for favoring certain blockchains and lacking transparency in the selection process.
The Wyoming Stable Token Act, passed in March 2024, mandates that the stablecoin be backed by cash, U.S. Treasuries, and reverse repos, with strict maturity limits to ensure liquidity and stability. Reports suggest that the Commission plans to launch the stablecoin using blockchains such as Solana, Ethereum, Avalanche, Stellar, and layer-2 solutions like Polygon and Optimism, excluding Cardano from the list.
Hoskinson raised concerns about Cardano’s exclusion, stating that it violated Wyoming’s good-faith procurement laws. He accused the Commission of denying Cardano a fair chance by not following a formal request-for-proposal process. Additionally, he dismissed claims about Cardano’s alleged technical shortcomings as baseless and biased, emphasizing the need for transparency and fairness in the selection process.
The Cardano founder also expressed worries about potential economic benefits being diverted away from Wyoming, particularly affecting local firms like IOG that have invested heavily in the state. He warned that the decision could harm Wyoming’s blockchain ecosystem and suggested that his team is considering legal action and other strategies to challenge the exclusion of Cardano from the project.
Hoskinson highlighted the political ramifications of the issue, suggesting that it could impact future elections. He mentioned that several lawmakers have already raised concerns about the exclusion of Cardano and the potential negative effects on Wyoming. The Cardano team is planning to follow a systematic process to address what they believe was a biased and flawed pre-qualification process designed to exclude IOG from the project.
In conclusion, Charles Hoskinson’s threat of legal action over Cardano’s exclusion from the Wyoming Stablecoin project reflects the growing tensions within the blockchain community. The controversy surrounding the selection process and the perceived lack of transparency has sparked widespread criticism and raised concerns about the fairness of blockchain governance. As the dispute continues to unfold, it remains to be seen how it will impact the future of blockchain development in Wyoming and beyond.
