By Michael Scott
Cardano’s Charles Hoskinson considers XRP bearing heavy losses following the Wyoming stablecoin saga.
The Cardano (ADA) creator weighs into the Wyoming Stable Token (WST) project, a thorny issue for the blockchain developer in recent weeks. Hoskinson’s attention to the WST project emerged after his blockchain failed in its bid. The developer profiles the process deployed to settle on blockchains to undertake the dollar-pegged stablecoin supported by the pro-crypto state, which exhibited unfairness and bias.
Hoskinson’s attention is engaged in war with the Commission, which is involved in the selection process for the WST blockchain. In the recent round, the Cardano founder seeks backing from the newly found comrades in XRP.
Hoskinson argues that Cardano was one of many users of the bungled selection. He reiterates that, just like Cardano, XRP was a big loser.
Does XRP Suffer a Huge Liquidity Blow?
Cardano’s Hoskinson reiterates that XRP suffered huge losses owing to the alleged bias that arose in the selection process for the WST project. The experienced developer indicated in a Wednesday, Dec. 11 response to crypto influencer ‘Bitboy,’ Ben Armstrong.
The crypto influencer indicated that the XRP army should not be bothered by the disparaging outcome of the WST project selection. The influencer commentary arose after the revelation that Ripple had finally secured approval from the New York State Department of Financial Services (NYDFS). The green light will allow Ripple to unveil the RLUSD stablecoin, a view that Hoskinson does not so politely contradict.
The crypto founder inquired about the heavy beating in the head that XRP suffered in the biased process. In his response to Bitboy, Hoskinson elaborates that the WST project would offer substantial liquidity to reinforce the XRP Ledger (XRPL). Also, the Wyoming stablecoin project would showcase the potential for Ripple’s RLUSD rails.
Hoskinson added that Ripple had developed an alternative system for Circle. Despite its existence, Circle emerged as the ultimate victor.
The crypto founder observed that if the selection team had allowed Ripple to participate, Wyoming could have leveraged the RLUSD infrastructure to issue millions of dollars in WST tokens. He suggests that such would have bolstered liquidity on most major exchange platforms missed out on.
Is It a Conspiracy to Exclude Crypto Projects?
In Hoskinson’s account, the unfortunate exclusion of Cardano alongside XRP and Bitcoin blockchains from the WST project is a conspiracy. He attributes that to Ethereum developer Consensys, Circle, and asset manager BlackRock.
The perspective by the Cardano founder is anchored on his claims that a group with Consensys and Circle ex-staff executed the selection. The involvement of asset manager Blackrock is seen as backing Cicle owing to their multi-year partnerships that date back to 2022.
Per Hoskinson’s account, the Wyoming stablecoin project inception was profiled as a multichain initiative to rival Tether (USDT) and Circle (USDC) at its inception last year. Nonetheless, he considers the WST to have shifted from the initial course following Anthony Apollo’s engagement in the initiative.
Apollo serves as the Commission’s executive director role, overseeing the WST project. Previously, he worked at Consensys for 18 months, heading various departments.
Hoskinson adds that Apollo likely waved off the multichain intent in the WST project to ensure an Ethereum-focused direction. The Cardano creator alleges the director ushered in the opaque evaluation process rather than allowing each blockchain to work on its prototypes.
Hoskinson believes the multichain direction would have enabled other blockchains to showcase their prototypes and how they satisfied the project’s requirements as initially agreed.
The revelation of the inaccessible document that MySten Labs co-founder Evan Cheng shared reveals the blockchains shortlisted. Avalanche, Stellar, and Sui join Solana and Ethereum alongside layer 2 chains, including Polygon, Base, and Optimism.
Hoskinson criticism of the selection process questions the inclusion of Stellar and the exclusion of XRPL. Although both have remittances and payments as a major infrastructure focus, the XRPL is more successful. It boasts nearly $140 billion in market cap, with tens of billions of trading volumes executed daily. Stelar market value hovers around $13 billion, with $1 billion daily trading volume.
Hoskinson questions the selection criterion in a recent broadcast that indicates that Stellar can execute things Ripple cannot do per the scoring criteria.
Editorial credit: Dennis Diatel / Shutterstock.com