Founder Proposes Cardano Foundation HQ's Switzerland Exodus

• Founder Charles Hoskinson urged the Cardano Foundation to move its headquarters from Switzerland to Abu Dhabi or Wyoming.
• He said Cardano’s current governance structure prevents the participation of community members in board selection.

Fresh from a recent hacking incident on X, founder Charles Hoskinson criticized the current situation of the Cardano Foundation. He urged the crypto community to support the transfer of the organization’s headquarters from Switzerland to Abu Dhabi or Wyoming.

Cardano Foundation’s Proposed Swiss Exodus

Hoskinson highlighted on a social media post that Cardano operates as a non-profit organization (NPO) under Swiss law. The structure does not allow community members to directly elect board members. His concerns came in as a response to the public backlash questioning the Foundation’s governance and transparency framework following a hacking incident more than a week ago.

The Cardano founder believes the governance of the organization is contrary to its decentralized vision. He stated that if Switzerland does not allow the Foundation to elect its board, it should move to a jurisdiction that does. Hoskinson said the asset can be transferred to another organization.

Hoskinson pointed out that keeping the status quo would mean the Swiss government appointing Cardano’s governance forever. In addition, it ignores any community input regarding the use of funds, selection of leaders, and oversight.

The pseudonymous YUTA-Cardano, a Cardano ambassador, backed Hoskinson’s proposal but dissented on the part where changes could only occur within another jurisdiction. The Cardano supporter indicated that Article 2 of the Cardano Foundation’s bylaws includes support for the Cardano blockchain’s ecosystem and consultation with third parties. Although the provision does not mandate the Foundation to listen to the community, the commenter thinks it’s in the best interest of the organization to take notes of their sentiments. This process would help enforce the purpose of the provision.

Others asked Hoskinson how exactly the Swiss government elects the Cardano Foundation governance team and decides on its agenda. However, the founder declined to comment on them.

Cardano’s Social Media Hacking Incident

The hacking event in question led to Cardano’s X account taking advantage of the crypto community’s detest for the US Securities and Exchange Commission’s (SEC) present regime. It falsely claimed that the regulator initiated a lawsuit against the organization, leading it to cease its support for ADA token as compliance.

Along the way, the deceptive post led to the bad actor writing a thread promoting a Solana-based version of the digital asset called ADASOL. The token gained over half a million dollars worth of trading volume an hour later. However, the digital asset’s issuer eventually rug pulled, and the crypto lost 99% of its value when the scam unraveled.