Cardano Founder Discusses Cryptocurrency Value: What Will Happen to ADA's Competitor Bitcoin When Popularity Fades

Recently, Cardano founder Charles Hoskinson expressed his views on Reddit, offering a sharp perspective on the value foundation of Bitcoin. He believes that the core logic of cryptocurrencies and fiat currencies is the same—value entirely depends on the degree of market acceptance. This viewpoint provides a new perspective for understanding ADA and other blockchain projects.

Cardano Founder’s Perspective on Cryptocurrency Value Logic

Hoskinson pointed out that, just as the dollar is valuable because people believe in it, Bitcoin’s only advantage lies in its widespread recognition and popularity. In other words, once it loses this sole strength—broad market acceptance and attention—it will ultimately face decline. This argument reveals the harsh truth behind many crypto assets: apart from community support and recognition, many projects are essentially difficult to sustain long-term value.

Argument on Bitcoin’s Lack of Technical Innovation

The Cardano founder candidly stated that Bitcoin is “the least technologically advanced among all cryptocurrencies.” His criticism is not unfounded but based on concrete technological realities. Although Bitcoin innovated the blockchain concept, it lags behind in subsequent technological developments, lacking many modern blockchain features.

Hoskinson specifically emphasized that to keep Bitcoin up with competitors like ADA, a series of major technological upgrades are necessary. These include Segwit—optimizing transaction data structures; Taproot—improving privacy and smart contract functions; Schnorr signatures—enhancing signature efficiency; and Lightning Network—enabling off-chain payments. The advancement of these technical solutions directly relates to whether Bitcoin can adapt to the ever-evolving blockchain ecosystem.

Cardano’s Technical Advantages and Differentiation Strategy

Unlike Bitcoin’s conservative update pace, Cardano has focused on technological innovation and academic rigor from the outset. The ADA project founded by Hoskinson emphasizes peer-reviewed research, aiming to strike a balance between security, scalability, and decentralization. This design philosophy sharply contrasts with Bitcoin’s core focus on network security and decentralization.

Long-term Thinking in the Cryptocurrency Ecosystem

The Cardano founder’s discourse reminds the industry that, in an era of increasingly fierce crypto competition, relying solely on historical status and popularity is not enough to guarantee long-term competitiveness. The existence of ADA and the Cardano project itself is a practical embodiment of this theory—continuously pursuing technological innovation and academic research to maintain a leading position in blockchain competition. To avoid being marginalized, Bitcoin indeed needs to accelerate its technological upgrades to meet the challenges posed by emerging projects like Cardano.