Charles Hoskinson, the founder of Cardano, has voiced his insights following the resignation of Changpeng “CZ” Zhao, CEO of Binance. According to Hoskinson, this event marks a significant turning point, signaling the conclusion of a notable phase in the crypto world.
Hoskinson, in his address, emphasizes that CZ’s departure represents a watershed moment, transitioning from a period characterized by rapid growth and innovation to an era demanding adherence to regulatory standards or adopting entirely decentralized systems.
He reminisces about the early stages of cryptocurrency trading, where rudimentary methods like spreadsheets and PayPal were used for Bitcoin transactions. This period, as Hoskinson denotes, was the first wave of innovation
As the industry evolved, figures like CZ emerged, leading what Hoskinson calls the “second wave” in 2017. Binance, under CZ’s stewardship, grew into a dominant force in the cryptocurrency market. However, the changing global financial landscape, particularly the stringent financial regime of the U.S., is now challenging such centralized systems.
The global financial environment is shifting towards multipolarity, leading to a divergence from U.S.-centric economic systems. This shift places cryptocurrencies in a complex position, exemplified by Binance’s recent plea deal.
Hoskinson suggests that crypto entrepreneurs can still wield significant influence. He proposes solutions like Midnight, a network designed for transactions based on algorithmic law, to navigate the challenges posed by government regulations.