The Cardano community has been shaken after founder Charles Hoskinson launched a scathing attack on the Cardano Foundation, following the release of a long-awaited audit that cleared him of $600 million embezzlement allegations.
Speaking in an X Spaces interview on Thursday, Hoskinson demanded accountability: “Where’s my fucking apology?” he asked, criticizing the Foundation’s silence despite evidence that vindicated him.
The controversy traces back to the 2021 Allegra hard fork, when critics accused Hoskinson of using a Genesis Key to alter Cardano’s ledger and divert $600 million worth of $ADA. Genesis Keys are core elements of Cardano’s architecture, designed to define initial blockchain settings such as coin distribution.
Hoskinson has always denied the claims. In May, he explained that the coins in question were either redeemed by their original holders or donated to Intersect, a Cardano governance organization.
Hoskinson Cleared by Independent Audit
An independent review by accounting firm BDO and law firm McDermott, Will & Schulte found no wrongdoing in Cardano’s voucher redemption process.
Despite the clearance, Charles Hoskinson sharply criticized the Cardano Foundation for staying silent during months of speculation. He accused the Switzerland-based non-profit of failing its responsibility to safeguard the blockchain’s integrity.
Hoskinson went further, calling on investors to act, either by holding a vote of no confidence in the Foundation’s board or by filing a class action lawsuit in Switzerland to push for board resignations.
This latest dispute adds to a long history of tensions between Hoskinson and the Foundation. In the past, he has faulted the organization for inefficiency, particularly its failure to secure stablecoin integrations, an issue he argues has slowed Cardano’s DeFi growth compared to rivals like Ethereum and Solana.
With Cardano’s market value standing near $29 billion, the conflict is fueling new concerns about governance and leadership within one of the world’s largest blockchain networks.
