In a video message, the CEO of IOHK and Cardano (ADA) announced that they have no more relation with Cardano Foundation. Due to certain reasons IOHK and Emurgo have broken their relation with Cardano Foundation. When the Cardano (ADA) project started, they divided the balance of powers among three different sub-networks, which included IOHK, EMURGO and Cardano Foundation. They had their own responsibilities to look after ADA, but now Charles Hoskinson announced the separation from Cardano Foundation due to certain factors. The basic responsibilities of these three parts of ADA was described by Hoskison and why they have broken with the foundation.
IOHK is a technology in science and engineering company, IOHK wanted to take over the components involving the peer review the research and development as well as the actual construction of Cardano (ADA). This was enormously complicated process and there always natural checks and balances on the science side, the peer review process and on the engineering side.
EMURGO took upon itself to handle the venture capital and business side of Cardano. So, basically the responsibility of EMURGO was to worry about how ADA has to get partnerships, alliances and people to build on top of the protocol. Its work was to make sure that those partnerships and alliances are as meaningful as possible to encourage the growth of Cardano (ADA) ecosystem.
Cardano Foundation’s responsibility was to worry about the creation of meet-up groups and making sure that the ADA community has timely accurate information. For example, a large percentage of the initial ADA distribution was in Japan and getting listed on Japanese Exchange required a great degree of regulatory lobbying and pushing. So, this was the duty of Cardano Foundation.
Reason for the Separation of Cardano Foundation
The Cardano Foundation was headed by Michael Parson, his responsibility was to construct the board and hire the executive director and serve as the community ambassador. The foundation board has now diminished to two people, Chairman Parson and a legally required Swiss citizen because the foundation was formed in Switzerland. According to Hoskinson, they haven’t seen any diversity in the Cardano Foundation board. He added they he has seen nepotism and haven’t seen foundation execute on many of its core issues. So, he has decided to break with Cardano Foundation.
Is it the Right Decision?
Charles Hoskinson is a very intelligent person and has been very active about his work. He has a keen view on the blockchain network and is pretty experienced as he has been a part of different networks including BitShares, Ethereum and Ethereum Classic.
His decision of separation from Cardano Foundation can be a setback for ADA but he would have gone through the case thoroughly, so if the foundation was not working properly it could have been a weakness for Cardano (ADA) and ADA could not have survived among the other blockchain assets. So, before it could have gotten worse for ADA network, the decision by Charles Hoskinson under IOHK and EMURGO can be a turning point for Cardano. Now they can head with much ease towards their destination and built on a new group.
EMURGO Partner with SOVC
Emurgo has been an active body of ADA and has been developing Cardano’s ecosystem. The Emurgo network has taken a step further and has partnered with SOVC. With the help of this partnership, both of the network will join up together to combine their expertise to improve the blockchain (ADA) network and bring new innovations in the market.
Both Emurgo and SOVC are looking to solve the issues including core infrastructure services, virtual goods, autonomous organization management, wallets and usability, oracles, identity and reputation, financial instruments, developer tools, security and other core applications that enhance transparency, decentralization and data ownership.
Overall, Cardano (ADA) are going well on their way and trying to fix their problems as early as possible. Charles Hoskinson took ADA users in trust and explained the core issues of the foundation. Emurgo’s partnership on the other side is a healthy prospect for Cardano (ADA) network. So, all in all Cardano have kept their path clear and look forward to their developments. Hoskinson says that best is yet to come from Cardano (ADA).