XRP, ADA Excluded from Wyoming Stablecoin Project: Lawsuit Brewing?

• Charles Hoskinson hinted at a potential class action against the Wyoming Stable Token Commission.
• Blockchain firms could sue the commission for lack of fairness and transparency.
• Hoskinson faulted the commission’s selection of Stellar over Ripple.

Cardano founder Charles Hoskinson has hinted at the possibility of a class action by the blockchain firms excluded from the Wyoming stablecoin project. Hoskinson said the firms could sue the Wyoming Stable Token Commission for allegedly not using a fair and transparent procedure when choosing the blockchain protocols for its stablecoin project.

XRP and Wyoming https://t.co/uztrsGNtxT

— Charles Hoskinson (@IOHK_Charles)
November 25, 2024

In a recent video, Hoskinson shared details of an email from the Commission that informed him about their decision and listed the approved protocols. The Cardano founder pointed to Stellar, one of the blockchains on the Commission’s list, and asked how the open-source blockchain made the cut over XRP.

Hoskinson compared XRP’s market size and technical capacity to Stellar’s and questioned the Commission’s criteria. XRP has a market cap of over $82 billion and almost $11 billion in daily trading volume, compared to Stellar’s $14.7 billion market cap and $3.8 billion daily trading volume.

Potential Conflicts of Interest?

Once again, Hoskinson also cited the potential influence of the Commission’s Executive Director (ED), a former ConsenSys employee who also worked with the Polygon ecosystem. The Cardano founder said that ConsenSys’ poor relationship with Ripple may have been a factor in the ED’s decision.

Read also: Cardano’s RFP Denial Was a Setback For Wyoming, Says Charles Hoskinson

Other blockchains that Hoskinson was surprised to see excluded include Algorand, Tezos, Aptos, and many more that he believes should have qualified. He said that the Commission did not give any excluded blockchain protocol the chance to present their Proof-of-Concept.

Notably, the Wyoming Stable Token Commission’s recent announcement happened around the same time as a slowdown in the crypto market. While there’s no clear link between the Commission’s decision and crypto prices, XRP and ADA have both seen declines. XRP is down 12% from a recent high, while ADA fell 15% over the same time.

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