TLDR
- Charles Hoskinson said treasury backing could support a weighted index of Cardano dApps and DeFi projects.
- The plan targets 10x growth in users, TVL, and transactions across Cardano DeFi.
- ADA holders could gain direct exposure to ecosystem growth through treasury participation.
- Ali Martinez said Cardano DeFi TVL has remained below $1 billion.
Charles Hoskinson said treasury backing could help Cardano DeFi reach new heights fast. He said the move could connect ADA holders more closely to ecosystem growth.
The proposal centers on a weighted index of Cardano dApps and DeFi projects. Hoskinson said this approach could support 10x growth in monthly active users, TVL, and transactions. He linked that goal to Cardano’s effort to compete with Ethereum, Solana, and Bitcoin-related ecosystem activity.
Treasury plan focuses on DeFi growth
Charles Hoskinson said the next step could see the Cardano treasury take ownership in a weighted index. That index would include Cardano dApps and DeFi projects. He said this structure could give ADA holders a direct stake in ecosystem growth.
His comments focused on building broader participation across Cardano DeFi. The treasury, under this plan, would hold exposure to activity inside the network. Hoskinson presented the idea as a way to support faster growth in users, liquidity, and transactions.
He framed the proposal around scale and stronger adoption. The goal, he said, is to help Cardano DeFi grow faster and compete more closely with larger blockchain ecosystems.
Cardano still trails rival chains in DeFi activity
The proposal comes as Cardano remains behind larger rivals in DeFi usage. Ali Martinez said Cardano’s DeFi ecosystem has never held more than $1 billion in locked capital. He added that the figure has stayed well below Ethereum and other competing chains.
Martinez also said some newer networks have already moved ahead in usage. He pointed to Sui as one example. He argued that a gap remains between Cardano’s market value and the level of real network activity.
He wrote, “Unlike Ethereum, which has built a dominant position in DeFi, or Solana, which has captured high-speed consumer applications, Cardano still lacks a clear use case that consistently attracts users, developers, and investors.”
Development pace and price levels remain in focus
Martinez also pointed to Cardano’s research-driven model. He said that approach can improve security and design quality, but it has also slowed feature rollout. He noted that Cardano launched in 2017, while smart contracts arrived in 2021.
That delay gave rival ecosystems more time to build applications, liquidity, and developer networks. Martinez also said $0.245 is the support level to watch. If that level fails, he said ADA could move toward $0.112 or $0.051.
At the same time, Hoskinson’s message remains focused on growth. He said treasury backing can drive Cardano DeFi to new heights fast and expand the role of ADA holders in that process.
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