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Cardano (ADA) Founder Sheds Light on Ethereum Classic

Cardano (ADA)–Cardano and IOHK Founder and Ethereum co-founder Charles Hoskinson has had a substantial impact on the direction of cryptocurrency. From his position in getting the second-ranked cryptocurrency by market capitalization up and running, to his creation of the Input-Output Hong Kong organization, which created Cardano ADA, Hoskinson has had has finger on the developmental pulse of the industry.

Speaking on the YouTube Channel Learn Crypto in an interview published Friday, Hoskinson gave his opinion on the Ethereum Classic (ETC) currency, a hard fork from Ethereum (ETH) which in part led to the creation of Cardano. Following his departure from the group of original Ethereum founders, a relationship that did not end 100% amicably, Hoskinson joined the Ethereum Classic team in 2016 to help guide the coin following its hard fork from ETH. The primary difference between ETH and ETC is that the latter promotes the idea of unrevisable, immutable blockchains. Following the The DAO hack, which essentially split the community of Ethereum, ETH Classic miners continued to trawl the original ETH blockchain–as opposed to participating in the new blockchain that returned ether to impacted investors. At the time, the move was hailed by equal parts admiration and derision. ETH supporters saw the move as a way to counteract the illegal theft of a hacker. ETC proponents felt that, while the hack was not to be celebrated, it was constitutionally wrong to the currency to revise the blockchain under any circumstance.

Hoskinson joined with the latter of the two, telling Learn Crypto,

“So…  I put my name brand and reputation on Ethereum and you know I went my own way but I still believed in this whole philosophy of the system.”

He goes on to expound upon his support for Ethereum Classic over ETH,

“I felt that you can’t go raise 18 million dollars and market something one way, and then when it’s inconvenient to you, you go change the terms of sale without the consent of the customer, and not a lot of customers participated. I think the vote was less than 10% participation and there wasn’t lot of time and it was just a knee-jerk decision.”

Hoskinson tells more about the conception of Ethereum Classic, speaking on the ease of which a developer can create a fork of a currency. However, he also relates how his experience with ETH and ETC set him up for the creation of IOHK and the Cardano ADA currency that followed. In particular, he highlighted the importance of currencies focusing on scalability, a feature that Cardano has been pushing for some time, in addition to higher TPS and a growing user base,

“Cardano’s trying to cover all three areas. So we started 2015 it was basically just a collection of concepts. We get about three years of research and development and now we’re in a position where we think we have a pretty good shot at being able to pull it off.”

In May, Hoskinson made somewhat controversial headlines when he called into question the massive market cap ascribed to Bitcoin and Ethereum. While not outright calling the currency worthless (as some outlets have run with), the IOHK CEO did find fault with what Bitcoin and Ethereum have done, or are in the process of doing, to deserve their spot at the top of the industry’s market capitalization,

“Why is anybody worthy of their positions in the market cap? Bitcoin is advertised as a payment system and a means of exchange, and then everybody who’s ever tried to use it for that, it’s been a miserable failure. They usually stop taking it, or they find ways to take cash, and through a creative structure like what Bitpay has done. Ethereum claims to be a world computer, but then CryptoKitties breaks it.”

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CNBC “Crypto Trader” Labels Cardano (ADA) As Undervalued

CARDANO (ADA)–Despite the plunging price of Bitcoin to levels not seen since last October, CNBC’s Crypto Trader remains bullish on the possibility of several altcoins, listing Cardano’s ADA currency as “undervalued.”

Cryptocurrency trader Ran Neu-Ner, who hosts CNBC Africa’s Crypto Trader program, told audiences on Fast Money, “There’s more blood to come,” in regards to the falling price of Bitcoin and the general decline of the cryptocurrency markets. Bitcoin broke the 6k USD mark yesterday evening, extending all the way into the 5800 USD range, reaching a relative low in value for the first time since October 2017. While the plunging price of BTC–and by extension, the entire altcoin market–follows on the heels of news surrounding the failure of lightning network in its present state (a protocol to reduce BTC fees and transaction times), the entire market is also responding to a general sentiment that the price will continue to drop. Cryptocurrency hedge funds, of which hundreds opened throughout last year, are reaching the critical point where investors can ask to take profit from their investment (forced sales), leading to a potential selloff in the market worth billions to the capitalization.

Given the negative attitude towards BTC’s price rallying in the near term, Neu-Ner has taken a bearish stance on the currency, predicting the price fall could extend into the 5300 USD range before the market starts to see a reversal, “Right now my money is on the market continuing to go down.”

Neu-Ner, founder of OnChain Capita, has been negative towards the price of BTC in the past, saying earlier in the month that he could see BTC testing 5000 USD in the near-term. He does argue that BTC pricing could form a floor when the cost of production (miner fees paid in electricity and equipment to process transactions and mine new coins) outweighs the benefit of selling at such a depressed price. Miners, in that situation, will be more compelled to hold their coins until price levels become more palatable–thereby drying up a portion of the current selling population.

Neu-Ner did give support for the future of cryptocurrency, saying that investors bullish on the technology should view this as a buyer’s market,

“If you understand the technology and you’re a bull, then now is a great time to be buying…The blockchain is progressing and this thing isn’t going away.”

In particular, the crypto trader highlighted Cardano’s ADA as a cryptocurrency for investors to consider, in addition to listing the altcoin as undervalued. When determining his next prediction for a successful currency, he stated looking at blockchain technology and infrastructure, which led him to Cardano and Neo.

Speaking specifically about his interest in Cardano, Neu-Ner had this to say,

“It’s a blockchain protocol. Which I think is highly undervalued.”

While the price of Cardano continues to fall coinciding with the slipping crypto market (ADA down to 0.11 USD as of writing), the eighth cryptocurrency by market cap saw positive news in the form of founder Charles Hoskinson meeting with Google to discuss the future of blockchain and crypto application.

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Cardano, Ethereum Founder: Cryptocurrency to Command Multi-Trillion Dollar Industry

Cryptocurrency–Charles Hoskinson has been one of the more fortunate, and potentially industry leading figures in cryptocurrency over the last fives years. The former consultant purchased his first BTC at under 8 USD, and started an online school for Bitcoin education in 2013, when the currency was trading for less than 100 USD. Through his connection to the digital education portal, he first met Vitalik Buterin, a relationship that led to Hosksinson becoming one of eight original founders of Ethereum (currently commanding a market capitalization of 47 billion USD).

While Hoskinson left the project in 2014 following disagreements over the structure of Ethereum, his high-profile presence in the industry became a springboard for other projects, notably 2017’s release of Caradano (ADA). With his background in Bitcoin and Ethereum already well established, Hoskinson embarked on a new project to account for deficiencies found in both currencies, most notably the inability to scale to levels necessary for widespread adoption. Using his experience from the founding of Ethereum, he started the Input Output Hong Kong (IOHK) blockchain firm in 2015, which led to the development of the Cardano platform and ADA cryptocurrency.

Given his extensive history and knowledge of both the industry and market of cryptocurrency, Hoskinson has become a beacon for predictions and future proofing in relation to the technology. Most notably, he has become an outspoken contrarian to the general media’s take on crypto as a conglomeration of ponzi schemes and vaporware projects.

There are a few takeaways from Hoskinson’s bold prediction for market capitalization, in addition to his critique of media coverage towards crypto and the constant schadenfreude colored narrative. While traditional media has long operated under a “if it bleeds it leads” model of headline-grabbing, the amount fear, uncertainty and doubt being produced by supposedly reputable outlets like CNBC is becoming unbearable. The public, or at least a handful of gateway journalists, have become inundated in seeing the failure of cryptocurrency.

‘Most of the personal attacks against crypto are unjustifiable and emotionally driven: when people hear stories of average joe investors and tech geeks becoming overnight millionaires, they feel a sense of loss. The real problem is in how the media creates the narrative of cryptocurrency as only price-driven. That’s akin to judging the health and functionality of the internet by how Apple and Facebook stocks are doing. Crypto currencies may be the immediate figures to respond to market changes, but they have little to do with the adoption, advancement and innovation of the underlying technology.

Hoskinson also brings up the point that “big money,” in the form of Wall Street and fintech developers, has barely scratched the surface on crypto investing. It’s not that Goldman Sachs will step in tomorrow and take BTC to the moon; it’s the underlying idea that crypto is still in the early days of adoption. Most main street investors take their cues from the financial figureheads and gurus entrenched in traditional Wall Street. As more outlets of high capital trust enter the realm of blockchain and cryptocurrency, the barrier to entry becomes that much lower for the average investor and developer.

Adoption, particularly when accompanying widespread disruption, is a process that takes time. But it  also follows an exponential curve. As someone who has been involved in Bitcoin since the early days, Hoskinson has an inherent understanding of the time frame for cryptocurrency to reach its full potential. That doesn’t help the wallets of new investors who entered the market during this bear cycle (or worse, at the top of last year’s bull run), but it does provide hope for the technology and the feasibility of cryptocurrency going forward. 

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