In a recent interview with eToro, Charles Hoskinson—co-founder of Cardano and one of the early architects of Ethereum—shared his insights on the evolution of the Cardano blockchain, the shifting regulatory landscape of the crypto industry, and the growing interplay between Cardano, Bitcoin, and XRP. Hoskinson's statements offer a broader perspective on collaboration in the blockchain space, suggesting that Cardano doesn't just compete with other cryptocurrencies—it enhances them.
Cardano founder Charles Hoskinson claims Cardano makes Bitcoin and XRP more valuable through integration and collaboration
Cardano’s Core Philosophy: Combining Security with Smart Contracts
Hoskinson emphasized that Cardano was designed to bridge the gap between Bitcoin’s secure transaction model and Ethereum’s dynamic smart contract functionality. Built on a foundation of peer-reviewed research, Cardano offers unique features like the UTXO (Unspent Transaction Output) model, which enhances security, and Hydra, a scalability protocol that enables faster transactions with lower fees.
“Bitcoin is secure but limited,” Hoskinson explained. “Ethereum is flexible but often chaotic. Cardano aims to offer the best of both worlds—security with scalability and governance.”
This hybrid approach is what sets Cardano apart. It isn’t just trying to be another "Ethereum killer" or Bitcoin alternative—it’s positioning itself as a third-generation blockchain that can integrate with others while solving some of their core limitations.
Why Cardano Makes BTC and XRP Stronger
One of the most interesting takeaways from the interview was Hoskinson's belief that Cardano doesn't threaten the value of Bitcoin or XRP—it enhances it.
“Cardano makes Bitcoin more valuable. It makes XRP more valuable. And that makes Cardano better,” he declared.
This statement underscores a paradigm shift in how crypto projects are approaching interoperability. Rather than viewing one another as direct competitors in a zero-sum game, platforms like Cardano are investing in features that support cross-chain collaboration and ecosystem growth.
For instance, Cardano is actively exploring layer-2 scaling for Bitcoin, using Hydra to facilitate faster, cheaper BTC transactions. Similarly, Cardano is working to integrate XRP support into its Lace wallet, a move that reflects a growing emphasis on user convenience and multichain access.
The Lace Wallet: Multichain is the Future
Lace, Cardano’s lightweight wallet, was officially launched in April 2023. Initially supporting only native Cardano assets such as ADA, the wallet is evolving to embrace a multichain future. According to Hoskinson, XRP support is already underway and will soon be available in Lace.
“XRP will soon be supported in the Lace Wallet. We are building for a multichain world,” Hoskinson said.
This integration means users can store, manage, and transact with ADA, BTC, XRP, and other tokens—all within a single decentralized wallet. It’s a user-centric move that emphasizes ease of access and cross-chain compatibility, two features critical for widespread crypto adoption.
Criticisms of Solana and Ethereum
Hoskinson didn’t hold back when discussing the shortcomings of other blockchain networks. He criticized Solana for relying heavily on hype and memecoins to drive activity, saying it lacked a sustainable long-term strategy.
He also addressed the issues within Ethereum’s governance model, claiming that it had become too centralized and prone to internal conflicts. Cardano, in contrast, boasts a governance-first approach, ensuring that community members have a say in the future of the protocol through systems like Project Catalyst and the upcoming Voltaire upgrade.
“Ethereum made serious mistakes in how it manages upgrades and consensus. Cardano is correcting those mistakes,” he asserted.
The Macro Environment: AI, China–US Rivalry, and Crypto Regulation
Hoskinson touched on broader global trends shaping the crypto industry. With increasing geopolitical tensions, such as the tech arms race between the US and China, and the disruptive rise of artificial intelligence, he sees cryptocurrencies as a potential safe haven for wealth preservation.
“We’re entering a new era of instability. Blockchain offers certainty and transparency in uncertain times.”
Regulatory pressure is mounting as governments around the world try to catch up with rapidly evolving digital finance. Hoskinson argues that decentralization and transparency are essential principles that regulators should work with, not against. He believes Cardano’s open-source, transparent structure gives it an edge when it comes to long-term compliance and trust.
Cardano’s Unique Value Proposition
With a focus on governance, peer-reviewed development, and modular scalability, Cardano aims to provide a sustainable foundation for DeFi, enterprise solutions, and real-world adoption.
Some key highlights include:
- Hydra protocol: Facilitates rapid transaction processing.
- Mithril: Improves chain synchronization and light client support.
- Midnight sidechain: Aims to deliver private smart contracts.
- Project Catalyst: One of the largest decentralized grant systems in crypto.
Hoskinson believes that these developments, combined with strong community involvement, position Cardano to be a long-term leader in the blockchain industry.
Looking Ahead: Can Big Tech Shake Up Blockchain?
Toward the end of the podcast, Hoskinson speculated about the future role of major tech companies in crypto. If corporations like Google or Microsoft fully enter the blockchain space, they could cause significant disruptions—but only if they understand the core principles of decentralization.
“You can’t buy your way into decentralization. It has to be earned,” he said.
Cardano's methodical approach may appear slow to some, but Hoskinson believes that slow, secure, and community-driven development will win in the long run.
Final Thoughts
Hoskinson’s comments reveal a forward-thinking vision where blockchain platforms collaborate, rather than compete, to grow the broader ecosystem. By enabling Bitcoin and XRP to do more through integration with Cardano’s infrastructure, each of these projects can reach their full potential.
As crypto moves into a multichain era, the boundaries between "competing" coins will blur. What matters most is interoperability, scalability, governance, and real-world utility—areas where Cardano continues to lead.
Read more: XRP Surpasses Tether to Become the Third-Largest Cryptocurrency: A Comprehensive Analysis