Cardano Founder Warns U.S. Crypto Policy Is on the Wrong Track
In a recent interview, Charles Hoskinson, founder of Cardano, voiced deep skepticism over the chances of the Digital Asset Market Structure Clarification Act—commonly known as the CLARITY Act—passing by Q1 2026. He argued that U.S. crypto regulation is not only slow-moving but fundamentally misaligned with the needs of the decentralized economy.
Stalled Progress, Fading Market Confidence
Hoskinson highlighted that since late 2024, despite the appointment of a high-profile official to lead digital asset strategy, there has been little tangible progress. Market valuations have trended downward, regulatory uncertainty persists, and innovators face barriers to long-term planning.
He stated plainly that if the CLARITY Act fails to gain decisive momentum this quarter, the official in charge should step down. 'The industry expected leadership,' he said. 'What we got was inertia.'
Political Shifts Threaten Legislative Momentum
- Hoskinson warned that a Democratic takeover of the House in November’s midterms would significantly reduce the bill’s chances.
- He fears a regulatory shift favoring legacy financial institutions over open innovation.
- Current policy appears to consolidate power among Wall Street giants like BlackRock, Goldman Sachs, and Morgan Stanley, sidelining retail participation.
Preserving Neutrality in a Politicized Landscape
On the rise of politically linked crypto initiatives, Hoskinson stressed that blockchain technology must remain global and ideologically neutral. Turning digital assets into political tools or national symbols, he cautioned, undermines their foundational principles.
He urged the U.S. to rise above partisan agendas and craft enduring regulations that protect innovation—even if it takes longer—setting a precedent for responsible, forward-looking governance worldwide.