Cardano’s founder Charles Hoskinson stated that the audit report reviewing Input Output Global’s (IOG) ADA holdings is progressing and may be released by mid-August. He recently shared that he received the first version of the report and has asked the audit team to include more detail and context in several sections.
Hoskinson said that if the current pace continues, the report should be ready next month without delays. He also plans to present the findings directly to the community during a livestream once the final version becomes available.
“I will read the entire report via a livestream once it becomes available,” he wrote on X, adding that a dedicated website will also host the report and related historical documents from the original token sale.
Audit Responds to Allegations of Misused ADA
Charles Hoskinson announced the audit after Cardano community members criticized how IOG handled unclaimed ADA from the 2017 ICO. One of the main allegations came from NFT artist Masato Alexander, who claimed that Hoskinson used administrative access to rewrite the Cardano ledger in 2021 and moved over ₳318 million ADA into centralized reserves during the Allegra hard fork.
Hoskinson rejected the allegations and said that original buyers had successfully claimed most of the ADA. He added that IOG did not take the small portion that remained unredeemed after seven years but donated it to Intersect, a governance group within the Cardano ecosystem. He also called the accusations factually incorrect and misleading.
Charles Hoskinson Plans to Take Legal Action
He also confirmed that he is working with a defamation law firm to explore legal action. On July 20, he wrote that he will meet with attorneys to discuss “options and strategy.” He said that the ongoing spread of misinformation had already caused “hundreds of millions of dollars of brand damage against Cardano.”
The Cardano community has responded with concern over how the situation is perceived externally. One user warned that such headlines could be misinterpreted by media outlets and turned against the project. Another user pointed out that misinformation, even if false, still impacts the broader ecosystem.
The upcoming audit will clarify the full history of ADA fund movement, particularly how the Cardano Foundation processed, reassigned, or donated unclaimed ICO tokens after the redemption window closed.
Cardano (ADA) Trades Near $0.87 After Breaking Major Resistance
Amid this ongoing dispute, ADA to USD is trading near $0.87, extending its recovery from earlier lows. The price recently broke out of a descending trendline and is now testing the $0.866–$0.88 resistance zone. A sustained move above this level could open the door to further gains, while immediate support lies near $0.71.
The daily Relative Strength Index (RSI) has climbed above 82, indicating overbought conditions. Although momentum remains strong, this could lead to a brief pause or pullback if buyers slow down. Market data also shows rising trading volume, suggesting increased participation during the latest price move.
