Cardano founder Charles Hoskinson has threatened legal actions over the blockchain network’s omission from the Wyoming Stablecoin project.
Hoskinson, in a video broadcast posted on the social media platform X on Nov. 25, accused the Wyoming Stable Token Commission It is a matter of favoring some blockchains while ignoring transparency. He pointed out that Input Output Global had served as a consultant over the past 18-months, but they were not informed of the criteria and procedures for selecting the blockchains.
Wyoming plans to launch the stablecoin Wyoming Stable Token WST, which is backed by U.S. dollars in the first three months of 2025. Wyoming Stable Token Act, passed in March 20, 2024, authorized creation of a project commission. The Wyoming Stable Token Act mandates that stablecoins be backed by U.S. Treasury bonds, reverse repos and cash. It also specifies strict maturity limits in order to maintain liquidity.
Hoskinson’s comments were ignited after Reports have emerged that the Commission plans to launch a stablecoin using blockchains like Solana Ethereum Avalanche Stellar and other layer-2 solutions such as Polygon and Optimism.
Cardano’s absence sparked widespread criticism within the blockchain network’s community, considering Hoskinson’s longstanding ties to Wyoming’s blockchain initiatives.
Legal Action
In his video, Hoskinson argued that Cardano’s exclusion violated Wyoming’s good-faith procurement laws. He said that the Commission denied Cardano fair chances by bypassing an official request-for proposal process.
The Cardano founder also dismissed claims about Cardano’s alleged technical shortcomings, calling them baseless and biased. He wrote in X.
“Nothing was published and an unelected bureaucrat decided himself what Cardano can and cannot do and then unilaterally excluded a nearly 40 billion dollar protocol without any debate or oversight. IOG isn’t even allowed to bid on an RFP. This isn’t what we fought for over the last few years in Wyoming. It’s disgusting and shameful.”
Hoskinson also expressed concern that the selected Blockchains could divert economic benefit away from Wyoming. He said that Wyoming-based companies, such as IOG, who have heavily invested in the state, may not benefit from the project.
Due to this, the Cardano founder warned that the decision could harm Wyoming’s blockchain ecosystem. He revealed that his team is considering litigation and other strategies in order to challenge the decision. He warned that this issue could have political implications, especially during future elections.
Hoskinson said:
“Several lawmakers have already reached out to both the commission and governor, saying that this process did not reflect their wishes with the bill and hurts Wyoming. Many options are moving forward, and they will follow a systematic process to address what was a broken and biased pre-qualification process designed to exclude IOG.”
Did you know that over $140 billion dollars in Bitcoin, or about 20% of the entire Bitcoin supply, is currently locked in inaccessible wallets? Or maybe you have lost access to your Bitcoin wallet? Don’t let those funds remain out of reach! AI Seed Phrase Finder is here to help you regain access effortlessly. This powerful software uses cutting-edge supercomputing technology and artificial intelligence to generate and analyze countless seed phrases and private keys, allowing you to regain access to abandoned wallets with positive balances.
