Will Charles Hoskinson Suing Over ADA Heist? Find Out! 🚀💼

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Will Charles Hoskinson Suing Over ADA Heist? Find Out! 🚀💼

Oh, the melodrama! Cardano’s charming patriarch, Charles Hoskinson, is striding forth like a blockchain knight, brandishing legal swords, to fend off what he dismisses as mere “lies.” Allegations swirl that he, in a fit of digital mischief, manipulated the chain to snatch a princely sum of 318 million ADA tokens. Yes, a small fortune, no doubt enough to buy a small country, or perhaps just a really fancy yacht.

The rumor mills—well, social media, really—chirped that during some cryptic “Allegra” upgrade back in 2021, Charles allegedly played the part of a crypto Houdini, using secret Genesis keys to snatch funds belonging to the early birds who believed they were investing in a future utopia, not a blockchain game of hide and seek.

Cardano’s Hoskinson Accused of Secretly Altering Blockchain to Control ADA Funds

Last week, the illustrious NFT artist Masato Alexander, who perhaps enjoys stirring the pot more than most, claimed that during the great “Allegra” fork, the network wearied of unspent tokens and (quaintly) decided to overwrite them — taking what was not theirs and stuffing it into the grand reserves, presumably for a rainy day or a very lavish party.

Cryptocurrency Illustration

“In 2021, the Cardano ‘Allegra’ Hard Fork (HF) wasn’t just a routine upgrade. It contained an extra payload. This HF effectively ERASED the original ICO UTxOs holding the ₳318M and swept the funds into the Cardano reserves,” Alexander wrote, as if the blockchain itself was a mischievous prankster, giggling behind its digital hand.

He claims they aimed to return these funds to their rightful owners. Instead—surprise!—most of the loot appeared to have vanished into the abyss of staking rewards and secret coffers, earning an estimated 25 million ADA while the rest went on an extended vacation.

“Only a tiny fraction went to Intersect… Where did the VAST majority of that ₳318 MILLION actually go after being moved from reserves? Separately, the funds were staked, earning 25m additional,” Alexander wondered, possibly with a wink and a nudge.

Adding a dash of mystery, Alexander mocked the lack of any clear trail, cryptic perhaps even to those who track blockchain breadcrumbs for a living.

Ironically, Charles recently emphasized needing community input for scaling solutions, citing the importance of governance.

Yet, when ₳318M was at stake, he acted unilaterally via genesis keys to alter the ledger and control these funds.

Interesting.

— masato_alexander (@masatoalexander) May 7, 2025

But don’t worry, Charles is not just sitting around playing the victim while polishing his lawyer’s shoes. He vehemently denies all these accusations. In a command-post response on X (formerly Twitter), he called the claims “lies,” implying that the ADA vouchers turned into collectible artifacts post-hard fork, much like rare stamps, but less valuable and more unspendable.

The noble Hoskinson explained that these assets weren’t lost but translocated into a custodial account managed by some mysterious “Token Generation Event (TGE).” They apparently continued to process redemptions for three more years, just to spice things up.

“The Ada vouchers became unspendable after the hard fork. They were rolled into a custodial account controlled by the TGE that then continued redemption for 3 more years to distribute the genesis funds to the original buyers,” he clarified, as if recounting a well-oiled chain of events.

He further claims that most original buyers—an impressive 99.8%—claimed their ADA, leaving a tiny 0.2% to fund noble causes like Intersect, as if that fraction was the crypto equivalent of charity work.

“After seven years, the remaining 0.2 percent were returned to the TGE and donated to Intersect through the same process that funded the Cardano Foundation,” Hoskinson proudly proclaimed, perhaps with a smirk.

While the grand report remains a secret, Hoskinson teases that the redemption saga is still ongoing—like a blockchain soap opera with no commercial break.

And, in a flourish of lawyerly defiance, he warns that any further libelous chatter—yes, even from the intrepid Alexander—will result in serious legal action. The kind of action that involves fancy letters, serious faces, and maybe a few emojis for good measure.

“As we are now considering litigation against those slandering us, we will make no further statements until the closing report is published. We will then send letters to the relevant parties demanding retractions and apologies,” the Cardano founder declared, possibly while sipping a ceremonial coffee, or just preparing his legal arsenal.

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2025-05-17 16:04