Did Cardano Founder Steal $619 Million? Hopkinson Makes Shocking Revelation
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in...
Reason to trust
Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made
Strict editorial policy that focuses on accuracy, relevance, and impartiality
Ad discliamer
Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.
Cardano, and specifically its founder Charles Hoskinson, has come under fire recently after allegations of fraud surfaced online. The rumors quickly spread as the integrity of the blockchain and its founder were called into question. As a result, Hopkinson has delivered a response, with a shocking revelation on how he plans to interact with the public and the community going forward.
Alleged $619 Million Going Missing
On May 7, 2025, an X user who goes by the name Masato Alexander made a shocking claim: 318 million ADA worth $619 million had been illegally moved and the finger was being pointed at Cardano founder Charles Hoskinson. Apparently, this had happened with the Allegra Hard Fork which took place back in 2021 as core functions of the blockchain were changed.
Alexander claimed that Hoskinson had deployed code during what was thought to be routine upgrade with an extra payload. Allegedly, this allowed Hoskinson to erase the original ICO UTxOs which held a total of 318 million ADA and moved the funds to Cardano reserves that were controlled by private keys tied to Hoskinson.
The transaction was done through an MIR transaction, which stands for Move Instantaneous Reward transactions. Essentially, Alexander claims that this allowed funds to be moved from reserves and then used for treasury and staking rewards purposes.
These claims quickly drew the attention of the Cardano community, with Hoskinson himself responding under the post to denounce the rumors. He initially explained that the ADA vouchers of the users whose ADA were allegedly moved had become unspendable after the hard fork. Thus, they had been moved into a “custodial account controlled by the TGE that then continued redemption for 3 more years to distribute the genesis funds to the original buyers.” Furthermore, Hoskinson threatened legal action if Alexander did not stop making these claims.
Cardano Founder Addresses Rumors Again
After the initial interaction, Cardano founder Charles Hoskinson has once again come out to address the rumors of the missing $619 million. He first addressed the fact that people were quick to condemn him after the rumors surfaced without giving him the benefit of the doubt. This extended to friends who he says did not show up for him during this time.
As for the rumors themselves, the founder explained that there will be a full audit and a report which will be published for the public to see. He further went on to reveal that the events of the past few weeks will change how he engages with the community from now.
While Hoskinson does plan to continue to attend events and take pictures with people, he plans to hand over his X account to a media company. Additionally, he plans to change the format of how he holds his X Spaces and Ask Me Anything (AMAs). “Infinite accessibility just enables it to happen again and again,” the founder explained.
Featured image from Dall.E, chart from TradingView.com
Scott Matherson is a prominent crypto writer at NewsBTC with a knack for capturing the pulse of the market, covering pivotal shifts, technological advancements, and regulatory changes with precision. Having witnessed the evolving landscape of the crypto world firsthand, Scott is able to dissect complex crypto topics and present them in an accessible and engaging manner. Scott's dedication to clarity and accuracy has made him an indispensable asset, helping to demystify the complex world of cryptocurrency for countless readers.
Scott’s experience spans a number of industries outside of crypto including banking and investment. He has brought his vast experience from these industries into crypto, which allows him to understand even the most complex topics and break them down in a way that is easy for readers from all works of life to understand. Scott’s pieces have helped to break down cryptocurrency processes and how they work, as well as the underlying groundbreaking technology that makes them so important to everyday life.
With years of experience in the crypto market, Scott began to focus on his true passion: writing. During this time, Scott has been able to author countless influential pieces that have drawn in millions of readers and have shaped public opinion across various important topics. His repertoire spans hundreds of articles on various sectors in the crypto industry, including decentralized finance (DeFi), decentralized exchanges (DEXes), Staking, Liquid Staking, emerging technologies, and non-fungible tokens (NFTs), among others.
Scott’s influence is not just limited to the countless discussions that his publications have sparked but also as a consultant for major projects in the space. He has consulted on issues ranging from crypto regulations to new technology deployment. Scott’s expertise also spans community building and contributes to a number of causes to further the development of the crypto industry.
Scott is an advocate for sustainable practices within the crypto industry and has championed discussions around green blockchain solutions. His ability to keep in line with market trends has made his work a favorite among crypto investors.
In his personal life, Scott is an avid traveler and his exposure to the world and various way of life has helped him to understand how important technologies like the blockchain and cryptocurrencies are. This has been key in his understanding of its global impact, as well as his ability to connect socio-economic developments to technological trends around the globe like no one else.
Scott is known for his work in community education to help people understand crypto technology and how its existence impacts their lives. He is a well-respected figure in his community, known for his work in helping to enlighten and inspire the next generation as they channel their energies into pressing issues. His work is a testament to his dedication and commitment to education and innovation, as well as the promotion of ethical practices in the rapidly developing world of cryptocurrencies.
Scott stands steady in the frontlines of the crypto revolution and is committed to helping to shape a future that promotes the development of technology in an ethical manner that translates to the benefit of all in the society.
Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.
Delegate Your Voting Power to FEED DRep in Cardano Governance.
DRep ID: drep12ukt4ctzmtf6l5rj76cddgf3dvuy0lfz7uky08jfvgr9ugaapz4 | We are driven to register as a DRep by our deep dedication to the Cardano ecosystem and our aspiration to take an active role in its development, ensuring that its progress stays true to the principles of decentralization, security, and community empowerment.DELEGATE VOTING POWER!
