Terra (LUNA) ‘s almost dropped down to its failure and has restarted the debates over the design and quality of the project.
Founder of Cardano network and CEO of its parent company Input-Output Global Charles Hoskinson has been quite popular because of his opinions on various issues in the crypto space from time to time. This time Hoskinson explained that the recent events took place in the form of Terra network’s collapse, known as Terra Classic Network. The Terra network saw a crash when its native token LUNA saw a drastic drop that resulted in the depegging of the network’s algorithmic stablecoin UST from the US Dollar.
In a recent interview, Hoskinson claimed that the event of Terra network’s collapse had highlighted that time taken in the development of a project is highly important before releasing it to the users. If this procedure is not followed, it results in a higher risk of the product becoming unsustainable, as the example of Terra network’s LUNA and UST has demonstrated.
Further, Cardano’s founder outlined how much such immature projects had made their investors lose billions of dollars either because of hacks or cyberattacks that impacted numerous crypto users since last year. Hoskinson said that while going towards a project too quickly where people think they could get something until it does not do so. And finally, when it reaches such a point when it doesn’t provide any utility, it turns out to be a catastrophic failure as everyone has seen with LUNA and such $10.5 billion worth of hacks that happened last year, people lose a lot of money.
However, Charles Hoskinson’s Cardano network seems quite the opposite of this case, as the network has been in a constant development phase since its launch. This made critics complain that this has already been a long procedure and might take longer. Cardano said this because it took several years before it became fully operational under a completely decentralized proof-of-stake (POS) consensus protocol.
On top of that, the Cardano network has witnessed several Hard Fork Combinator (HFC) events until the network has achieved its smart contract compatibility. Such instances made critics say that the network itself is going too slow in the entire crypto space.
However, Hoskinson said that IOG and Cardano’s network is here to play the long arc game in response to this. He used to think in long terms that require years of time at least and not months or weeks to develop a project.
Source: https://www.thecoinrepublic.com/2022/06/01/why-did-cardano-founder-charles-hoskinson-imply-quality-incentivizes-over-speed-terras-example/