{"id":74588,"date":"2026-03-03T13:04:16","date_gmt":"2026-03-03T13:04:16","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=74588"},"modified":"2026-03-03T13:04:16","modified_gmt":"2026-03-03T13:04:16","slug":"cardano-founder-sounds-alarm-over-new-us-crypto-bill","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=74588","title":{"rendered":"Cardano Founder Sounds Alarm Over New US Crypto Bill"},"content":{"rendered":"
\n

Cardano founder Charles Hoskinson is urging the crypto industry to take a harder look at H.R. 3633, arguing that the market structure bill could lock future US token projects into securities status rather than provide the regulatory clarity its backers promise. His criticism goes beyond process: Hoskinson says the bill, as written, could protect legacy networks while making it far harder for new crypto projects to launch and grow inside the United States.<\/p>\n

Cardano Founder Issues A Stark Warning<\/h2>\n

In a video<\/a> published March 2, the Cardano founder framed the dispute partly as a direct response to Ripple CEO Brad Garlinghouse\u2019s view<\/a> that a flawed bill is still preferable to no bill. Hoskinson rejected that outright. \u201cA bad bill is not better than no bill,\u201d he said. \u201cYou start from a principles-based approach. You don\u2019t make everything a security by default, and you upgrade modernized securities laws so that\u2019s not so bad.\u201d<\/p>\n

His core objection is that the Clarity Act would treat newly launched digital assets as securities first, then require them to convince the SEC they qualify to \u201cgraduate\u201d into commodity status once their networks are sufficiently decentralized. In Hoskinson\u2019s reading, that framework would have captured XRP, Cardano and Ethereum at launch. The difference, he argued, is that older networks may ultimately be grandfathered in, while future projects would face a regulatory maze from day one.<\/p>\n

Hoskinson repeatedly returned to the same question: what, in practice, stops the SEC from keeping a token classified as a security<\/a> indefinitely? \u201cIf it starts as a security, what stops them from keeping it as a security forever?\u201d he asked. \u201cAnd are we really sure that we can trust that to rulemaking that has yet to happen by people who have yet to be appointed by agencies that spent the last four [expletive] years suing everybody and throwing everybody in prison?\u201d<\/p>\n

From there, he laid out a series of what he called \u201cattack vectors\u201d that an adversarial SEC could use in rulemaking. One involved procedural delays around filing completeness, where the agency could keep resetting the clock with deficiency notices. Another focused on the bill\u2019s undefined treatment of \u201ccommon control,\u201d which he said could let regulators interpret open-source coordination itself as evidence of centralized management.<\/p>\n

He also argued that proving decentralization could become impossible if issuers were required to identify beneficial owners across pseudonymous wallet systems or rely on compliance categories the SEC has not even created.<\/p>\n

The broad point was that the bill may look workable in statute but become punitive in implementation. \u201cA bad bill enshrines into law every single thing Gary Gensler<\/a> was trying to do to the industry,\u201d Hoskinson said. \u201cA bad bill through rulemaking allows the SEC to arbitrarily and capriciously kill every new project in the United States. A bad bill exposes all DeFi developers to personal liability.\u201d<\/p>\n

He also argued the current political fight in Washington is not really about the bill\u2019s structure at all. According to Hoskinson, the real holdup is stablecoin yield, not developer protections, DeFi coverage or the SEC-CFTC split. In his telling, that leaves the industry in a strange place: a bill marketed as market structure reform, but one that \u201cdoesn\u2019t cover the core of what\u2019s going on in the industry right now.\u201d<\/p>\n

Hoskinson\u2019s preferred alternative is a principles-based rewrite that modernizes securities law itself, builds blockchain-native disclosure rails, explicitly protects developers and DeFi, and limits how much discretion regulators can exercise in later rulemaking. Otherwise, he warned, the practical result may be simple: established networks survive, while the next generation of US crypto projects builds offshore first and only tries to enter the American market years later.<\/p>\n

At press time, Cardano traded at $0.2692.<\/p>\n

\"Cardano<\/div>\n","protected":false},"excerpt":{"rendered":"

Cardano founder Charles Hoskinson is urging the crypto industry to take a harder look at H.R. 3633, arguing that the market structure bill could lock future US token projects into securities status rather than provide the regulatory clarity its backers promise. His criticism goes beyond process: Hoskinson says the bill, as written, could protect legacy […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-74588","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/74588","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=74588"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/74588\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=74588"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=74588"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=74588"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}