If 33 million ADA is blocked, will key figures exit?...Cardano DRep warns of selling owned ADA

▲ Cardano (ADA)/AI Generated Image

Conflict is escalating within the Cardano (ADA) community regarding Input Output Global's (IOG) research funding proposal. Chris O, a key DRep, warned that if the proposal is rejected, he might sell his ADA holdings and completely leave the Cardano ecosystem.

The Crypto Basic reported on May 22 (local time) that Chris O, a prominent Cardano DRep and Midnight ambassador, stated he is prepared to sell ADA and leave the ecosystem if IOG's research funding proposal does not pass. This proposal requests funding of approximately 33 million ADA and includes several plans, such as Leios-related development and research to strengthen Cardano's future defense against quantum threats.

The conflict intensified when YUTA, another DRep, announced that he would abstain from voting on the proposal. YUTA argued that while some parts of the proposal contained valuable research, other parts appeared to be an inefficient use of treasury funds. He also suggested that IOG should submit the proposal in separate parts so that the community could evaluate each research area independently.

Chris O strongly refuted this logic. He criticized YUTA's judgment via X (formerly Twitter), stating that if the proposal fails due to a colleague's incompetence, he might sell his ADA holdings and leave the Cardano ecosystem. He also urged YUTA to reconsider his decision to abstain, warning that DReps who block the proposal could ultimately be held responsible for "killing Cardano."

Currently, the proposal is nearing rejection. Among the votes counted so far, only 13.28% were in favor, while over 86% were against. DReps can vote until June 8, and this vote will determine the fate of IOG's research funding proposal.

Cardano founder Charles Hoskinson also mentioned the risk of the proposal's rejection. Hoskinson stated that if the community rejects the proposal, IOG would not resubmit the same proposal. He warned that if the proposal does not pass, some research labs might close, and some engineers might leave the project.

Hoskinson also expressed concern that if Cardano loses its research-centric development model, ADA's current decline could become a permanent trend. This vote surrounding IOG's research funding proposal has emerged as a turning point, simultaneously testing Cardano's technical development direction and the community's trust in governance.

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