Charles Hoskinson, the founder of Cardano, has addressed the increasing spread of “lies and misinformation” about the network’s staking operations. In a post on X (formerly Twitter) on Sept. 11, Hoskinson expressed his frustration with claims that staked tokens on the network are locked. He emphasized:
“The lies and misinformation about Cardano have reached epic levels. Stake isn’t locked, but they still lie.”
These remarks followed accusations that Cardano’s large market capitalization is due to investors being unable to sell their ADA holdings, allegedly locked in staking. These claims emerged during a podcast featuring crypto commentators, including InvestAnswers, CTO Larsson, MartyParty, and Mando.
MartyParty suggested in the podcast that Cardano’s high market cap doesn’t reflect its true value. According to him, investors have been unable to sell ADA because they were “tricked” into locking their assets in the staking pool.
Community Quickly Responds
Many Cardano community members, including key stake pool operators, promptly refuted these accusations.
PRIDE, a notable operator in the network, highlighted that Cardano is unique among the top-20 cryptocurrencies due to its native liquid staking feature. This system ensures ADA tokens are never locked, allowing users to retain full control over their assets. PRIDE stressed that, unlike other networks, Cardano doesn’t rely on liquid staking derivatives. This flexibility aligns with Satoshi Nakamoto’s vision of maintaining self-custody of assets.
They further explained: “Staked coins don’t leave your wallet, and can be spent anytime or used in DeFi. That also means no slashing.”
Key Staking Data
Staking Rewards reports that over 22 billion ADA tokens are currently staked. This contributes to securing the network and validating blocks, with an annual reward rate of 2.82%.
Cardano’s Latest Developments
The controversy surrounding ADA staking coincides with several key developments in the Cardano network. On Sept. 1, Cardano successfully completed the first phase of the Chang Hard Fork, introducing decentralized governance.
Prior to this upgrade, the Cardano Foundation revealed positive network growth in August. The number of smart contracts, transactions, and wallet interactions each increased by approximately 1%.
The post Hoskinson debunks locked Cardano staking claims amid new network milestones appeared first on CryptoSlate.
