Charles Hoskinson, the founder of Cardano (ADA) and co-creator of Ethereum (ETH), delivered a sharp rebuke of Ripple Labs (XRP) CEO Brad Garlinghouse on Sunday regarding the current draft of a bill aimed at shaping the cryptocurrency market structure. Through a live video stream shared on his official X account, Hoskinson expressed his frustration with Garlinghouse's apparent failure to robustly challenge the legislation that several industry observers believe disproportionately benefits banks and entrenched financial players at the expense of decentralized finance mechanisms.
Garlinghouse publicly applauded the Senate Banking Committee for proposing "workable frameworks" for cryptocurrency regulation. He stated that "clarity beats chaos," signaling optimism that ongoing deliberations and the markup process would resolve outstanding issues within the legislation.
In stark contrast, Hoskinson responded with visible anger, urging his peers within the crypto community not to settle for so-called clarity that, in his view, undermines the foundational principles of the blockchain revolution. "Sorry, Brad. It’s not better than chaos. Take the chaos and fight for what’s right. Fight for integrity," Hoskinson implored, emphasizing the need for passionate advocacy over complacency.
Hoskinson framed his opposition within a broader context of defending the essence of cryptocurrency freedom. "I signed up for freedom," he asserted vehemently, rejecting any notion of surrendering the cryptocurrency movement to traditional banking interests. He dismissed arguments that suggest the latest version of the bill is "better than nothing," sarcastically questioning whether the industry might as well cede control back to those opposed to cryptocurrency advances, referencing political battles and administration changes without speculation.
Ripple Labs had not responded to requests for comment at the time of reporting, leaving Garlinghouse's position represented solely by his prior public remarks praising regulatory progress.
Adding further context, Coinbase Global Inc. (NASDAQ: COIN) withdrew its support for the cryptocurrency market structure bill shortly before lawmakers were scheduled to vote. This withdrawal contributed directly to the indefinite postponement of the bill’s markup, illustrating the ongoing contentiousness of the legislative process and the uncertainties faced by the crypto sector.
Hoskinson’s critique extends beyond Garlinghouse to include a pointed admonition of David Sacks, the White House cryptocurrency coordinator. Should the bill fail to pass within the first quarter, Hoskinson called for Sacks’s resignation, holding him accountable for his perceived inaction. Hoskinson accused Sacks of failing to prevent the launch of ventures, such as the Official Trump memecoin (TRUMP), that have complicated the advancement of cryptocurrency legislation. These remarks come amid Hoskinson's known political engagement, particularly his past support for former President Donald Trump and his critique of current President Joe Biden's approach to cryptocurrency regulation.
Overall, the episode underscores friction within the leadership of major cryptocurrency figures and firms regarding how to engage with evolving legislative landscapes. The dispute reveals a broader tension between wanting regulatory clarity and the risk of compromising core decentralized values.