-->
bitcoin

Burning ADA wouldn’t work, Cardano founder sets the record straight in a Surprise AMA

Charles Hoskinson has explained that burning ADA wouldn’t work, he was in a surprise AMA from Ethiopia. Token burning is a fruitless exercise that will not achieve anything.

 The Crypto market has been evolving since day one as it came to existence. The old protocols are replaced by better and faster performance. For example, the transition of mostly crypto tokens from PoW to PoS. A lot of people believe that if the supply of any token is less and scarce then its price will go up. That’s why most tokens like BNB, ETH, and BTC are burned to achieve high price goals. But, the founder of Cardano doesn’t agree with this theory.

Burning ADA

Burning ADA wouldn’t work:

Charles Hoskinson was speaking over the weekend in a surprise AMA from Ethiopia. He was asked a question about burning ADA from a user. He literally called that user an idiot and started to explain that burning ADA wouldn’t be fruitful for anyone and it isn’t the mechanism of the Cardano. He further explained by saying:

“Why do people think it’s possible to burn ADA? It’s not, it’s not. I own some ADA; you guys have some ADA. To burn ADA, you physically have to forcibly confiscate ADA from somebody and destroy it”.

 Burning ADA
The image of Charles Hoskinson in which he is Speaking over the weekend in a surprise AMA from Ethiopia

He further explained that Cardano is all about stability and dismissed the idea of incorporating token burning into Cardano’s tokenomics. Hoskinson detailed that he doesn’t want to meddle with the monetary policy of crypto which was set years ago. On the question about the meme currency in the top ten, he replied that these are short-term gains and I believe that this hype will not accomplish anything in long term.

So, one thing is pretty clear that burning ADA will not happen under Hoskinson’s watch. It is a good thing to set long goals instead of running for short-term goals. But, will ADA achieve that long-term goal? Well, we will have to wait to see that happen.

For more content please click here.

About mnmansha

MN Mansha is a cryptocurrency expert, trader, and content writer with extensive experience in covering everything related to digital assets — from price analysis to Blockchain disruption. Mansha authored 100+ stories for NewsBSC.com and other fintech media outlets and he's actively writing more every day. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets.

Check Also

bitcoin

EU MPs Attack Amazon’s Participation in Digital Euro Project

A cross-party coalition of members of the European Parliament on Tuesday came under fire at …

Leave a Reply

Your email address will not be published.