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- Hoskinson says Genesis ADA was private compensation for early risk and not a community fund

- Treasury funding debates intensify as Cardano prepares major integrations and a 2026 governance shift

- Cardano leaders advocate for a unified executive structure to enhance strategy and deal-making

Cardano (CRYPTO: $ADA ) founder Charles Hoskinson has taken a firm stance on the long-running Genesis ADA dispute, arguing that the original allocation represented private compensation for early risk rather than a community-controlled resource. His latest remarks, delivered in a recent livestream, aimed to close a renewed wave of criticism and redirect attention toward Cardano's upcoming structural shift.

Hoskinson addressed the controversy by stating that Genesis ADA was issued as a profit for development work and to assume early regulatory and technical exposure. He emphasized that the arrangement stemmed from agreements with primary buyers during Cardano's Japanese crowd sale, which raised about $72 million before being converted into bitcoin (CRYPTO: $BTC ).

He argued that IO and EMURGO took on significant uncertainty in the project's early phase, when ADA traded at just a few cents and when failure risks were high. Moreover, he noted that the founding entities delivered a multibillion-dollar ecosystem on funding worth only a fraction of its current scale. Because of that, he said, calls to reuse those allocations for modern integrations misrepresent the original terms.

He underscored that Cardano's on-chain treasury already holds more than a billion ADA, making demands for founders to repurpose private assets unnecessary. According to him, private companies such as IO and EMURGO owe the community development work they commit to, but not their entire balance sheets.

Growing Treasury Proposals Trigger Fresh Division

The latest controversy stems from a joint request for 70 million ADA to support integrations involving Oracle and stablecoin providers. Critics argue that Genesis ADA should fund such efforts. Hoskinson dismissed the idea, saying the partners behind many of these integrations did not exist when Cardano was created.

He also clarified that the requested amount will not cover the full cost of the plans. IO, the Midnight Foundation, and other large holders will still need to contribute because they have a vested interest in increasing network utility and yield opportunities for their holdings.

Moreover, he warned that rewriting agreements years after the fact would undermine the incentives that allowed Cardano to reach its current scale. He said that retroactive expectations overlook regulatory exposure in Japan and the United States.

Cardano Leadership Prepares For 2026 Restructuring Vote

Beyond the funding dispute, Hoskinson framed the current governance moment as a turning point. He said Cardano is moving away from its original three-entity structure and preparing for a five-member executive layer involving IO, EMURGO, the Cardano Foundation, the Midnight Foundation, and Intersect.

He contended that unified coordination is essential as Cardano negotiates with what he described as aggressive industry players. According to him, a single strategic voice will strengthen the project's ability to secure major deals, expand DeFi infrastructure, and navigate global competition.

He reiterated that Genesis ADA is settled and that the focus should now shift toward whether the ecosystem supports the proposed 2026 structure. Hoskinson closed by stating that the community must now choose between maintaining the old model or endorsing a new governance arrangement designed to accelerate growth.