The CEO of IOHK, Charles Hoskinson, recently appeared on an interview to share his thoughts on the Cardano Foundation. He also made comparisons with the Bitcoin [BTC] Foundation, stating that the coin did not need the Foundation to become successful.
This comes after one of the three main parties in charge of managing the Cardano [ADA] project, the Cardano Foundation, was cut off from the other two parties, IOHK and Emurgo. Hoskinson detailed his thoughts in a letter to the Foundation, to which they have not yet responded. In an interview with Crypto Insider, he stated:
“The reality is we’ve been working with this situation for two years it’s just it’s gotten to a point where Emurgo and IOHK have just normally given up on the existing leadership structure of the Foundation and we feel we have a duty to tell the community that we’re just going to move without them.”
Hoskinson alleged that the Chairman of the Board of Cardano Foundation did not comply with business ethics, reportedly employing practices of nepotism. Moreover, the Foundation did not carry out its detailed duties such as managing the meetup groups, providing timely and accurate information to the community, and carrying out regulatory outreach, leading to the split. He went on to say:
“They are no more useful to us at the moment than Bitcoin Foundation is useful to Bitcoin and Bitcoin didn’t need the Bitcoin foundation to become successful. Frankly, the hard work of other people did it.”
Hoskinson also spoke about the state of the Cardano community all over the world, stating that he traveled to 27 countries this year alone to develop the ecosystem. He stated:
“I meet the people and I see their frustration. It was inexcusable for us not to have a good presence in South Korea. When we hit the markets a lot of people bought at the top, at $1.20 and those people are loyal they’re still there. They still believe in the project even though they’ve lost a heck of a lot of money.”
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Iran: Cryptocurrency miners on the brink of supply shock; power cut warning sounded
Cryptocurrency mining could soon be phased out of another Asian giant, Iran. An official from Tavanir, the Iranian state-run company responsible for the supply and distribution of power within the country, has sounded a warning for crypto-miners.
According to an Iranian news outlet, Iran Front Page [IFP], Tavanir’s Mostafa Rajabi Mashhadi, on June 23 said that in the month of May, the country’s energy consumption shot up by 7 percent, stating that the ‘main cause’ for the same was Bitcoin miners’ excessive energy costs.
Using the national grid for the mining of cryptocurrencies is “illegal,” and if these culprits continue to use the grid to mine Bitcoin and other digital assets, their “power will be cut off,” he added.
Mashhadi added that the commensurate amount of electricity consumed by a “Bitcoin mining machine” was equivalent to the energy consumption of 24 dwellings. He said that the Iranian administration had yet not confirmed the tariff on digital currency mining power consumption.
Electricity is one of the few utilities within the country that is subsidized. This is one of the reasons why activities like Bitcoin mining consumes so much electricity, mining being a highly energy-intensive activity. Additionally, this rise is concentrated in residential areas, rather than industrial hotbeds.
Interestingly, earlier this month, Iran’s Financial Tribune had quoted the Deputy Energy Minister of Iran, Homayoun Haeri, who stated that digital currency miners should be presented with electricity bills based on “real prices” of consumption. Haeri had added that power exports should be kept in mind when these consumption costs are calculated.
Finally, the report highlighted that Tehran pays $1 billion annually to circumvent the pay gap between real electricity costs versus the actual amount charged to customers.
Given the extensive computation and hence, energy costs of cryptocurrency mining, several countries are clamping down on domestic mining industries. China, home to the largest mining pools in the world, tabled a proposal to ban all forms of cryptocurrency mining citing extensive energy consumption.
The National Development and Reform Commission [NDRC] had announced plans of banning mining of all forms of digital assets, reinstating its long-held view of converting to a clean energy-producing country. This, coupled with the government’s ongoing crackdown of the domestic cryptocurrency industry, is seen by some as serving the best of both worlds.
However, with the decline of Chinese miners and the crackdown on Iranian ones, other countries might emerge as alternatives. Mati Greenspan, Senior Market Analyst at eToro opined that these “alternatives” could be Russia or Canada.
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