Cardano’s Founder Charles Hoskinson has distanced himself from projects like Freya and other NFT ventures after a recent controversy led to substantial losses for numerous investors.
In an attempt to share an update on his beloved dog, Freya, Hoskinson inadvertently promoted a memecoin project on the X platform (formerly Twitter). The Cardano founder posted a charming photo with his dog, but mistakenly tagged an account associated with a canine-themed token that shared the same name as his pet.
Seizing the opportunity, the team behind the Cardano-native meme coin, $FREYA, leveraged the tweet to assert that Hoskinson’s post about Freya was an endorsement of their meme-based cryptocurrency to his nearly one million followers.
This manipulation led to a rapid surge in the price of FREYA, soaring by an astonishing 800% to $0.1342 within minutes. However, this bullish trend was short-lived, as the token swiftly retraced all gains, plummeting to $0.00847, as reported by Dexscreener. At the time of writing, FREYA was trading at $0.00842.
Unsurprisingly, investors who incurred substantial losses due to the sudden volatility criticized the Cardano boss, holding him responsible for their financial setbacks. In light of this incident, they emphasized the importance of conducting thorough due diligence before tagging accounts on the X platform, urging caution to prevent a recurrence of such issues.
In response to the unfolding events, Hoskinson vehemently disassociated himself from the Cardano-native memecoin and other non-fungible token (NFT) ventures.
While expressing appreciation for the creativity behind artworks inspired by his life, Hoskinson clarified that he does not endorse such projects and has not undertaken any due diligence regarding them.
Acknowledging the concerns raised by the community, Hoskinson conveyed his gratitude and underscored that he does not seek commercial gain from these endeavors. Furthermore, he affirmed that he has not entered into any collaborations for such purposes.
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Contrary to Hoskinson’s recent assertion, it is noteworthy that the Cardano founder had previously sought input from his followers on a meme-based cryptocurrency. Specifically, he had inquired about Snek (SNEK), a Cardano-native meme coin that had garnered substantial popularity.
Despite Hoskinson’s reputation for meticulous attention to detail, the recent turn of events has left many Cardano enthusiasts surprised and intrigued.
