In a live Ask Me Anything session on November 1, Charles Hoskinson, the founder of Cardano, directly addressed a series of criticisms leveled at the platform, asserting its potential for growth and innovation in the coming years. He specifically countered claims of low adoption, inadequate liquidity, and marketing stagnation, proposing a detailed blueprint for revitalization that revolves around the launch of the Midnight partner-chain, increased cross-ecosystem bridges, targeted marketing efforts, and heightened accountability for performance metrics.
Framing the AMA as a response to a notable community critique, Hoskinson refuted the characterization of Cardano’s challenges, which included issues such as the absence of prominent stablecoins like USDC and USDT, limited liquidity and total value locked (TVL), and insufficient interoperability with other chains. He argued that these perspectives often overlook the network’s actual activity and ongoing developments. “It comes up quite a bit,” he remarked concerning the stablecoin discourse. He emphasized that while more stablecoins are desirable, Cardano has existing options like USDM and USDA, both of which are asset-backed and can be minted as needed.
When discussing TVL and adoption metrics, Hoskinson highlighted the disparity between Cardano’s DeFi figures and broader on-chain engagement. “There’s approximately $680 million in TVL on Cardano,” he noted, but he juxtaposed this with over 1.3 million participants engaging in governance or staking activities, which collectively hold more than 15 billion ADA. He pointed out that unlike Ethereum, ADA’s staking is not factored into TVL calculations, suggesting that if Cardano users fully engaged with its DeFi offerings, the TVL could soar to between $5 and $10 billion.
Midnight: A Catalyst for Cardano’s Future
A significant portion of Hoskinson’s discourse focused on the Midnight layer, a privacy-preserving partner chain projected as a solution to the interoperability criticism. He stated, “I’ve spent the last six years building Midnight. We’re getting ready to launch, and it resolves pretty much all those concerns.” This new layer aims to provide Cardano-native assets with tier-one exchange listings and establish connections with multiple ecosystems, including Ethereum, Solana, and Bitcoin. The launch’s scale is set to be unprecedented, with projections of involving over a million participants.
Midnight is envisioned as a bridge facilitating cross-chain capital movement, effectively unlocking DeFi engagement on Cardano. Hoskinson anticipates that users will be enticed to seek yield utilizing Midnight tokens within Cardano’s burgeoning DeFi landscape. Furthermore, a unique trust-minimized bridge between Midnight and Cardano is promised to address the stablecoin landscape effectively by 2026.
Addressing Scaling and Marketing Concerns
Responding to claims of network congestion, Hoskinson asserted that current block utilization rates suggest no significant throughput issues, as blocks are only partially filled most of the time. He reinforced that the Hydra scaling solution is operational on the mainnet and continues to advance, contributing to Cardano’s capability to manage larger transaction volumes efficiently.
Hoskinson conceded that while marketing efforts could be deemed underwhelming, he would proactively lead initiatives in 2026, planning four significant events annually to showcase top projects in the ecosystem. He underscored the importance of a cohesive marketing strategy that emphasizes Cardano’s unique selling propositions.
The absence of an accountable entity for Cardano’s growth remains a primary concern for Hoskinson, who advocated for a systematic framework involving delegated authority and measurable KPIs across various metrics to guide progress.
With the clock ticking towards 2026, Hoskinson remains steadfast in his commitment to delivering innovative solutions and fostering community engagement. He emphasized the importance of collaboration, urging users to actively participate while reiterating that the road to success relies on unity and resilience.
As of the latest updates, ADA trading stands at $0.577, marking a pivotal moment as Cardano aims for a strategic renaissance in the cryptocurrency space.
