Cardano’s Hoskinson rejects VCs, calls them a ‘Ponzi’ in token launch

Cardano co-founder, Charles Hoskinson, is preparing to roll out a major multi-chain token airdrop aimed at bringing more unity to the divided crypto landscape.

Speaking at Consensus 2025 in Toronto, the Cardano founder revealed new insights into the Cardano’s privacy-first sidechain, Midnight’s Glacier airdrop. 

Set to reach 37 million wallets across eight major blockchains, the Glacier Drop is shaping up to be one of the biggest token giveaways the crypto world has seen.

The move comes amid growing division among crypto communities, which Hoskinson likened to unproductive “tribal warfare” in the industry. “Every Consensus, there’s a new token… running around saying, ‘my thing is better than your thing,’” he said on stage. He believes the current crypto landscape is locked in a “Nash equilibrium” of competition, not cooperation, and he wants to change that.

Midnight, which remains in testnet with a mainnet launch expected later this year, aims to enable private smart contracts while supporting cross-chain functionality. But it’s the project’s economic model — and how tokens are being distributed — that Hoskinson hopes will shift industry norms.

The Glacier Drop will distribute two types of tokens — NIGHT, a governance token, and DUST, which is designed for private transactions — entirely to retail users, with zero allocation to venture capitalists or early insiders.

“I had no f-ing time for your ponzi,” Hoskinson said , recounting how he turned down VC offers for the Midnight launch. “Get the hell out.” Instead, he’s opted for what he calls a principled airdrop, designed to reward everyday users and encourage broader engagement across the crypto space.

“You already have it, congratulations,” he told the crowd. “It’s yours. It’s your property.” Users who receive Midnight tokens in the Glacier Drop can choose to keep, sell, trade, or ignore them — a contrast to many airdrops that reward insiders or come with restrictions.

Hoskinson emphasized that Midnight’s architecture is built for inclusivity, describing its approach as “cooperative economics.” Developers on chains like Ethereum, Solana, or Bitcoin will be able to deploy hybrid dApps using Midnight while continuing to pay network fees in their native assets — ETH, SOL, or BTC, respectively. 

At the same time, validators from different blockchains can jointly secure the network and share in the rewards, regardless of their underlying chain affiliation.

“This is the project that I’m having the most fun with right now,” Hoskinson said. “Because it’s the project where I get to be friends with everybody.”

Hoskinson sees Midnight — and its unorthodox launch strategy — as a model for how crypto can evolve beyond tribal rivalries. As Big Tech enters the space and billions of new users follow, he believes privacy, cooperation, and fair distribution will be key to building an inclusive crypto future.