Cardano Founder Reveals Why U.S. Government Is Planning to Hold ADA in Stockpile

Charles Hoskinson highlights key features that prompted the United States government to add Cardano (ADA) to its digital asset stockpile initiative. 

He revealed this while weighing in on the ongoing debate about whether Cardano should be considered sound money, following the U.S. government’s decision to include it in its digital asset stockpile. 

For context, the Trump administration announced plans to establish a Strategic Bitcoin Reserve (SBR) alongside a broader digital asset stockpile in March.

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While the reserve will exclusively hold Bitcoin, the stockpile is set to feature several cryptocurrencies, including ADA. Since the announcement, critics have questioned ADA’s inclusion, arguing over whether it truly qualifies as sound money. 

Hoskinson Highlights Why US Government and Institutions Like ADA 

Reacting, Hoskinson drew parallels between Cardano and Bitcoin, arguing that both operate under a deflationary model. Moreover, he argued that Cardano’s strength lies in the resilience of its ecosystem. 

Specifically, Hoskinson emphasized that Cardano is fully decentralized, boasting millions of users globally. According to him, the blockchain has been operating continuously for eight years, running 24/7 without experiencing downtime or a single security breach. 

He noted that this level of stability is what prompted the United States government to include ADA among the cryptos it intends to hold in its digital asset stockpile. 

In addition, Hoskinson believes that these qualities also appeal to major institutional players, who increasingly view Cardano as one of the blue-chip assets in the crypto industry. 

This is why $ADA is being added to the US Strategic Reserve – Cardano Founder explains: pic.twitter.com/1xeIl34U1i

— Altcoin Daily (@AltcoinDaily) October 2, 2025

Mechanism for Cardano Adoption Remains Unclear 

While the U.S. government has confirmed plans to include Cardano in its forthcoming digital asset stockpile, the exact mechanism for doing so remains unclear. 

According to an executive order, the reserve will be established using assets obtained through civil or criminal forfeitures, rather than new acquisition via taxpayer funds. 

Data from Arkham Intelligence indicates that the blockchain wallet linked to the U.S. government currently holds more than $24.64 billion in seized cryptocurrencies. However, ADA is not among these holdings. 

Meanwhile, the address contains over $360 million worth of stablecoins, prompting speculation that the government could convert a portion of these funds into ADA. However, it remains uncertain whether the United States will adopt this mechanism.