Cardano Founder Charles Hoskinson Slams China's Bank For Freezing Millions Of Dollars In Consumer Funds

JAKARTA – Recently, Cardano (ADA) founder Charles Hoskinson made an ironic comment on the state of the banking system in China. He expressed his dismay at the world without a digital cash system that does not require reserve funds and is readily available anywhere.

With his statement, the founder of Cardano certainly alluded to cryptocurrencies and blockchain, which he said were real and valid alternatives to traditional finance.

According to a uToday report, since April 2022, four rural banks in central China's Henan province have frozen millions of dollars in deposits, threatening the livelihoods of hundreds of thousands of their customers at a time when the economy has been hit by pandemic restrictions.

Later, the depositors concerned staged a demonstration in Zhengzhou, the administrative center of the province. In times of greater escalation, the Chinese authorities began to disperse the riots. The situation at that time was judged not to be so good especially considering that it might only be the beginning of a possible crisis.

Even so, China is known as a country that often opposes cryptocurrencies. Even its citizens are prohibited from discussing cryptocurrencies on a number of local social media.

“If only we had some kind of digital money system that didn't require fractional reserve storage and was always available anywhere in the world...” Hoskinson wrote in his official Twitter post on July 11, 2022.

The statement was a response from Cardano's founders to China's banking system which has frozen consumer funds. The customers were forced to be unable to withdraw their money from the bank due to the freezing of funds.