XRP and Cardano Excluded from Wyoming Stablecoin Project, Hoskinson Reacts

Charles Hoskinson, the founder of Cardano, has suggested that blockchain firms excluded from Wyoming’s stablecoin initiative might pursue legal action against the Wyoming Stable Token Commission.

In a recent statement, Hoskinson hinted at the possibility of a class action lawsuit, asserting that the Commission may have failed to apply fair and transparent selection criteria when determining which blockchain protocols would participate in the project.

Hoskinson Questions Selection Criteria

In a video update, Hoskinson disclosed an email he received from the Commission, which listed the protocols chosen for the stablecoin project. He expressed confusion over the inclusion of certain blockchains, particularly Stellar, and questioned why well-established protocols such as XRP and ADA were excluded.

Drawing comparisons, Hoskinson noted XRP’s market dominance, highlighting its $82 billion market capitalization and $11 billion daily trading volume. By contrast, Stellar’s metrics stand at a $14.7 billion market cap with $3.8 billion daily trading volume.

Hoskinson questioned the Commission’s decision-making process, suggesting it lacked transparency and failed to consider the technical capabilities and market impact of blockchains excluded.

Allegations of Bias

Hoskinson also raised concerns about potential conflicts of interest within the Commission, specifically pointing to its Executive Director (ED). He noted the ED’s prior affiliations with ConsenSys and the Polygon ecosystem, suggesting these ties may have influenced the selection process.

“ConsenSys has had a historically poor relationship with Ripple,” Hoskinson stated, implying that this dynamic could have negatively impacted XRP’s evaluation.

Several other prominent blockchains, including Algorand, Tezos, and Aptos, were also excluded from the project. According to Hoskinson, the Commission did not offer these protocols the opportunity to present their Proof-of-Concept, further calling into question the fairness of the selection process.

Broader Implications and Market Impact

The announcement of the Commission’s selected protocols coincided with a period of declining performance in the cryptocurrency market.

While no direct link has been established between the decision and market conditions, XRP and ADA have experienced notable price drops. XRP has fallen over 10% from a recent peak, while ADA has declined by 17% over the same timeframe.

The exclusion of XRP, ADA, and other major protocols has sparked debate within the crypto community about the criteria used to assess the suitability of blockchain networks for government-backed projects.

Hoskinson’s suggestion of legal action underscores the growing dissatisfaction among stakeholders, who argue that greater transparency and inclusivity are essential in such initiatives.

Calls for Accountability

Hoskinson emphasized the importance of holding institutions accountable, especially when public resources and trust are at stake. By signaling potential legal action, he has brought attention to what many see as a broader issue of bias and lack of transparency in the crypto space.

If a class action lawsuit materializes, it could have significant implications for how blockchain protocols are evaluated and included in future government-led projects.

As the controversy unfolds, the Wyoming Stable Token Commission has yet to respond publicly to these allegations, leaving room for speculation about whether its selection process will face greater scrutiny.

Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.

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