Cardano’s Hoskinson warns Trump-backed crypto venture could harm industry

The Cardano founder has expressed concerns about the Trump-backed crypto platform, warning that it could introduce regulatory challenges and politicize the industry.

Charles Hoskinson, founder of the Cardano (ADA) blockchain, has expressed his concerns over World Liberty Financial, a new decentralized finance platform backed by former US President Donald Trump and his sons.

Hoskinson warned in an interview with the Financial Times that Trump’s shift toward crypto could complicate the regulatory landscape for the sector, saying, “Everything Trump does is something the left hates.” He also warned that this bias could lead to investigations from U.S. regulators and destabilize the broader cryptocurrency market.

Despite Trump previously dismissing Bitcoin as a “fraud,” he recently vowed to turn the U.S. into a “Bitcoin superpower.” However, Hoskinson remains skeptical of both Trump and Kamala Harris’ ability to create a supportive environment for crypto, as he believes neither candidate has demonstrated the necessary sophistication in understanding cryptocurrency issues.

“I don’t see this level of quality and sophistication in the discourse [with Trump or Kamala Harris in the crypto space].”

Charles Hoskinson

Hoskinson’s comments come after World Liberty Financial confirmed it plans to launch WLFI, a governance token that will only be available to accredited investors under a Regulation D exemption. The project has enlisted top security firms to oversee and secure the platform as regulatory uncertainty remains a challenge.

However, Hoskinson believes that Trump will have a hard time delivering on his pro-crypto policy promises if he wins the November election, casting doubt on the administration’s ability to nurture the industry.