For Charles Hoskinson, Cardano (ADA) investors should “calm down” and give more importance to the fundamentals of the project, not the asset’s price.
Cardano: Focus on Project not the Price. After surpassing the $3.00 mark and reaching a new all-time high in early September amid market anticipation with the Alonzo update, Cardano’s native token, it has been in a strong downtrend ever since. Currently, the cryptocurrency is trading at $1.77, a devaluation of more than 40% from its record price. In this regard, Hoskinson commented that he saw many users, especially those with less experience in the market, being “obsessed with price.” According to him, this is “a total lack of perspective.”
The mathematician explained that investors should “calm down” and “relax” and not pay so much attention to short-term drops but to the fundamentals of the cryptocurrency network.
Criticism of memecoins persists
Hoskinson also criticized meme cryptocurrencies during the live stream, such as Dogecoin (DOGE) and Shiba Inu (SHIB). Although these projects currently have billions of dollars in market value, they are worthless.
He put it this way:
“Project enthusiasts will argue that these communities alone represent the value of the projects, and that’s all you need. But ‘old school’ people like me will say you need to have real fundamentals, real transactions, real deals, real agreements, potential utility, a path, and a vision of how these things are going to work in the world, change the world.“
Charles Hoskinson
The Cardano leader commented that the high price valuations of these meme currencies still left investors with unrealistic profit expectations. According to him, it would be unrealistic to expect an asset to increase in price more than 100 times a year, i.e., “people have developed unhealthy views about long-term investments and where it comes from.”
Cardano’s future
Hoskinson commented that Cardano has excellent long-term potential, especially for providing blockchain access to governments and large enterprises. He explained it: “If you look at a 5-year, 10-year, 15-year, 20-year perspective, we feel there is a great possibility that Cardano will be behind the technology infrastructure of several countries.”
Previously, the mathematician commented that his project could help manage a nation-state soon. It is worth noting that Cardano already has several action plans involving countries in Africa. Finally, Hoskinson said he sees Cardano as “the greatest human rights advocate the world has ever seen.”
eToro to discontinue Cardano and TRON trading in the U.S.
International stock and cryptocurrency trading platform eToro recently announced that eToro would no longer support Cardano (ADA) and TRON (TRX) trading for US-based customers. According to an IOHK post published on the company’s official blog, the eToro team indicated that the decision was mainly for commercial reasons. The applicable regulatory measures and provisions for customers residing in the U.S. played a role.
Therefore, suspending trading activities will take effect on December 26, 2021, giving users until December 31 to close their operations. Traders should note that they can not open commercial operations starting December 26, while all active operations should have been closed by the last date.
Regarding the destination of the funds, the eToro team indicated that people affected by the measure will still be able to keep their ADA and TRX funds if they wish. On the contrary, they could exchange them for U.S. dollars.
eToro to expand cryptocurrency catalog and operations
Although they plan to suspend ADA and TRX trading, the platform indicated that it would be adding more digital currencies for all its users internationally. Recently, eToro announced the expansion of its cryptocurrency trading services to users residing in Australia while also reporting the addition of 15 new digital currencies, including tokens such as Solana (SOL), Dogecoin (DOGE), and Shiba Inu (SHIB).
However, it is not surprising that customers in the U.S. are the main ones affected by the regulatory measures. Legal provisions have caused many international exchanges to suspend their services or withdraw support for some cryptocurrencies that do not go hand in hand with the applicable statutes.