The Cardano ecosystem has been rocked by a series of whistleblower allegations that paint a picture of internal discord, strategic manipulation and eroding trust at the core of its foundational organizations. An anonymous one e-mailshared by prominent community member “Big Pey” (@bigpeyYT) on
The Cardano whistleblower’s accusations
The whistleblower, who identifies as a long-standing participant in the Cardano ecosystem – from the Incentivized Testnet (ITN) era and as a former stake pool operator – claims that their experience includes significant time in the CF’s internal environment. He describes direct interactions with senior CF figures and recent involvement in Intersect’s working groups and committees.
“It is painfully clear that the CF’s recent burst of activity is part of a larger strategic game – an attempt to kill Charles, IOG, Cuttingand the broader roadmap for governance,” the whistleblower writes, suggesting a carefully orchestrated attempt to shape Cardano’s future without embracing the community-driven spirit the network claims to champion.
In an even more direct condemnation, the whistleblower claims: “Lower egos at senior levels are poisoning the strategy, and if their plan succeeds, it will send Cardano into a slow decline.” He describes CF’s “failed leadership”, which is apparently motivated by personal rivalry and a desire to reduce the influence of IOG and Charles Hoskinson rather than serving the interests of the community.
The memo details long-standing tensions between the CF and IOG, the research and development company led by Cardano founder Charles Hoskinson. According to the whistleblower, the CF’s hostile attitude has increased in recent months.
They recall an incident in September: IOG allegedly cut off internal communications after the CF attempted to poach key IOG engineers. The whistleblower also hints at a dispute over the location and financing of the Cardano Summit: the CF pushed for Dubai for the second consecutive year, reportedly ignoring Argentina, and demanded large sums from IOG, despite having hundreds of millions of ADA in had her property.
“From what I have seen firsthand, the real problem lies in the CF’s overall incompetence and their sense of entitlement – believing that they, and not IOG, should determine Cardano’s direction,” the statement said. whistleblower.
While he acknowledges shortcomings elsewhere – IOG’s delays and management problems, EMURGO’s historical neglect of responsibilities and early bureaucratic creep within Intersect – the whistleblower sees the CF’s actions as the most pressing threat. “Compared to the dysfunction of CF, the shortcomings of IOG, EMURGO and Intersect seem minor,” he writes.
Central to the whistleblower’s concerns are the CF’s late-stage involvement and alleged attempts to undermine Cardano’s on-chain governance framework, including CIP-1694 and drafting the Cardano Constitution. The whistleblower notes that CIP-1694, published in November 2022, was written primarily by IOG contributors. Although a CF representative, Matthias Benkort, is listed as one of the contributors, the memo claims that his role was largely marginal: “This became crystal clear when Matthias tweeted on August 11 – months after the publication of CIP-1694 – which showed that he had little understanding.”
Regarding the creation of Intersect – a membership-based organization to facilitate decentralized governance – the whistleblower states that while IOG and EMURGO supported its creation, the CF hesitated and only joined when it became inevitable. “IOG and EMURGO seed-funded Intersect; the CF refused,” he noted, adding that the CF leadership merely apologized instead of taking constructive steps. Ultimately, the CF joined Intersect as an Enterprise member, but the whistleblower blamed this on the fear of being left behind.
The most notable governance-related allegation concerns the CF’s sudden intervention in the constitution drafting process. On November 21, 2024, the CF released its own “updated proposal for the Cardano Constitution,” just one day after Intersect published the latest version, based on months of community engagement and previous drafts. According to the whistleblower, the CF proposal was derived from a publicly available Intersect design from July 29, but only surfaced at the eleventh hour. “It was classic CF: waiting for the train to start moving, then trying to claim some credit or more likely derail it,” the whistleblower wrote.
They further claim that Nicolas Cerny, a key leader of the CF board, contributed to Intersect’s internal editorial team for months and even signed the agreement approved by the delegates. constitution in Buenos AiresYet the CF leadership kept this coordination secret. “Instead of building on his work from within, the CF undermined him at the finish,” the whistleblower says, citing what they see as a pattern of strategic obstruction.
The whistleblower’s memo also sheds light on the CF’s recent move into Cardano’s innovation financing platform Catalyst. In November, the CF registered as a Delegated Representative (DRep), and shortly afterwards had 180 million ADA in Fund13, effectively shaping which projects received grants. The whistleblower warns that the CF’s alleged initial abstention is just a sham, intended to set a precedent for future board votes.
“Don’t believe the ‘it’s our fault’ and ‘it’s the community to blame’ narrative,” the memo urges, suggesting that CF leadership plans to use its deep ADA interests as leverage against governance outcomes it disapproves of.
The whistleblower directly challenges CF leadership on this issue: “Would you like to delegate the 180 million ADA used in Fund13 (or one of your origination ADAs) to your DRep in the next six months? Will you vote yes, no or abstain from the constitution approved in Buenos Aires? Just tell us the truth.”
According to the memo, CF’s approach to Catalyst, rather than promoting a decentralized environment, sets a dangerous precedent. “A truly community-focused Foundation could have used a fraction of that ADA to support deserving projects without distorting the entire vote,” the whistleblower claims.
Response from Charles Hoskinson
In light of these revelations, Cardano founder Charles Hoskinson said addressed the whistleblower’s claims through “I honestly have no idea whether the CF will vote against the community constitution or budget. It was extremely frustrating, and yes, Intersect should have been the CF.”
Hoskinson also highlighted the CF’s opaque decision-making structure: “The board members are not elected or appointed by the community. No one can influence or veto their decisions and policies. And there seems to be a strong dislike of me personally within the organization.”
At the time of writing, ADA was trading at $1.16.
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