Cardano (ADA) Founder Responds To Criticism Over Crypto New Crypto Partnership
28 August 2021 - 9:00AM
NEWSBTC
A new partnership between Cardano and blockchain-based firm
Coinfirm has drawn criticism from its community. The
Cardano-Coinfirm partnership will enable authorities to track ADA
transactions on the blockchain from as far back as when it was
first created. This, according to the press release, will enable
the apprehension of bad actors and prevent illegal transactions
from being carried out on the platform. Complying with anti-money
laundering (AML) regulations within regulations. Related Reading
| Hoskinson Celebrates Ethereum Smart Contracts On Cardano,
How This Company Enables It Even though this move was made as a way
to further the adoption of ADA by institutions, it has been seen as
a form of betrayal by some in the community. The most prominent of
these criticisms have been levied by Weiss Crypto, A subsidiary of
Weiss Ratings, a leading financial rating firm. Cardano Faces
Criticism From Community In a series of tweets, Weiss Crypto laid
out its criticism of this move. It pointed out that excessive
regulation is what killed the banking system. This is why people
are so distrustful of the current banking systems and are turning
to crypto. Now, Cardano is allowing the same regulations that
crippled the banking system onto its ecosystem. Weiss Crypto
pointed out that this move would make the blockchain political.
Also opening it up to censorship and network manipulation. A
follow-up tweet said that this defeats the whole purpose of the
freedom cryptocurrencies brings to the masses. Regulation like this
would take away this freedom from control and repression from the
people who already run current world financial systems. Related
Reading | Cardano (ADA) Cracks New $2.5 All-Time High, Is $3
Possible? “This brings Cardano closer to becoming a
censorship-prone, politicized, and manipulated network. If you’re
going down this route, there are far better tools for the job –
Facebook’s Diem, CBDCs, and the networks they’ll spring up.” Weiss
Crypto’s focus landed on the fact that AML laws are used to surveil
the people. Making sure that they know what is happening in the
financial markets at every turn. It then concluded by reiterating
that this was an all-around bad and disappointing move. Charles
Hoskinson Responds To The Backlash Cardano co-founder Charles
Hoskinson took to Twitter to respond to these criticisms via video.
The co-founder started out by stating that it [Cardano] is a
totally agnostic protocol. Hence where a person is located doesn’t
matter to it. Related Reading | Crypto Analyst Lays Out
Cardano’s (ADA) Pathway To $4 Hoskinson said; “While the base layer
of the system doesn’t care if you’re from the United States or
Japan, wherever, what you can do is add identity and metadata, and
all kinds of other things and those other things give you the
ability to be in compliance with your business domain, regulated or
otherwise.” “They provide clarity,” Hoskinson said in regards to
the partnership. “They provide a lot of business and technical
requirements. And they allow us to make the software better for
everyone everywhere, and Cardano to get more adoption in all
industries, regulated and unregulated.” ADA price back up above
$2.8 | Source: ADAUSD on TradingView.com ADA is currently still
trading above its previous all-time high. The coin which had
successfully clenched 3rd position for largest crypto by market cap
has continued to maintain its upward momentum. Currently trading at
$2.58. Featured image from CryptoSlate, chart from TradingView.com
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