Cardano Founder Blames Politics for Slow U.S. Crypto Legislation

Cardano’s founder, Charles Hoskinson, has openly criticized the slow pace of crypto legislation in the United States. Hoskinson placed much of the blame on political interference and the rise of memecoins. 

He said recent developments linked to President Donald Trump have damaged trust in the digital asset space. According to him, this has slowed momentum toward meaningful crypto regulation.

Cardano Founder Criticizes Trump Administration Over Crypto Delays

In a recent X post, Hoskinson expressed deep disappointment with the Trump administration’s role in the stalled progress of crypto-related bills. He believes that lawmakers have failed to take advantage of a critical opportunity to create a clear and supportive regulatory framework. 

In his view, political interests have overshadowed policy goals, slowing down decisions that could have strengthened the industry. He added that the overall state of crypto regulation in America has worsened. 

This is despite earlier hopes that new leadership would deliver faster and more constructive action. Following the November 2024 election, Hoskinson expected a shift toward a more crypto-friendly legislative environment. 

He believed the new administration would support innovation and work with industry leaders. However, events after the election quickly changed his view and raised concerns about crypto policy.

Trump-Linked Memecoin Sparks Crypto Regulation Concerns

The launch of a Trump-related memecoin before the 2025 inauguration marked a turning point for Hoskinson. He viewed this move as harmful to the credibility of the crypto space. 

According to him, the rise of politically linked memecoins created the impression that personal gain had become part of official systems. Hoskinson believes this development played a major role in delaying key crypto bills, including the CLARITY Act. 

He said lawmakers could have not only passed the GENIUS Act but also other proposed bills if not for the distractions. That rare moment of bipartisan cooperation faded after concerns over Trump’s crypto ties increased political tension and slowed progress.

Crypto Talks Drags On as Trump-Linked Memecoin Falls

Since its launch, the Trump-related memecoin has lost more than 80% of its value, further highlighting the risks associated with politicized digital assets. Meanwhile, lawmakers continue to debate new regulatory measures.

A draft market structure bill from the Senate Banking Committee has introduced firm limits on rewards tied to stablecoins. The proposal aims to prevent the promotion of crypto services that offer rewards simply for holding stablecoins. 

At the same time, it allows incentives connected to real activity, such as transactions, staking, and providing liquidity.

Talks between lawmakers and the banking industry have gone on for weeks, but progress is still slow. The Senate Agriculture Committee has delayed a crypto hearing to allow more time to sort out remaining issues in the bill.