
Cardano founder Charles Hoskinson has proposed a new treasury strategy that could create consistent buy pressure for ADA.
The plan focuses on funding ecosystem projects that would generate revenue and regularly buy ADA.
Technically, ADA is sitting near a key support zone, making the coming weeks critical for its price direction.
How Hoskinson Plans to Bring Capital Into ADA
Cardano founder Charles Hoskinson recently outlined a major funding strategy for 2026 aimed at strengthening the Cardano ecosystem. Under the proposal, the Cardano treasury could invest ADA into selected projects within the network.
In return, those projects would share a portion of their revenue with the treasury and regularly purchase ADA from the market. The goal is to create steady demand for the token while supporting ecosystem growth.
The treasury could also build a weighted index of ecosystem tokens, potentially buying 10–30% of each project’s supply. As these projects grow and generate revenue, part of that income, around 10% in some cases, would be used to buy ADA and return it to the treasury.
Hoskinson believes this system could allow the treasury investments to pay for themselves within one to three years while increasing activity across the network.
Fixing the Loopholes
During the discussion, Hoskinson said Cardano’s funding has traditionally focused on three areas: infrastructure, utility, and user experience. Most resources so far have gone into infrastructure projects like Ouroboros, Plutus, and Aiken, while user activity and decentralized applications remain relatively limited.
To change that, the 2026 roadmap aims to shift funding toward utility and user experience. This includes supporting DeFi projects, improving wallets and onboarding tools, and organizing 20–30 developer hackathons each year to encourage new applications.
The broader goal is to bring more developers, capital, and users into the Cardano ecosystem and strengthen real activity on the network.
Is This a Good Time to Buy ADA?
From a technical perspective, ADA is currently trading near a crucial support zone around $0.25–$0.26. In a bull scenario, if buyers manage to defend this area, the token could attempt a recovery toward $0.30 and $0.33, with stronger resistance sitting between $0.33 and $0.40.
However, the broader trend still reflects a long downward channel, meaning the market has not fully shifted bullish yet. Crypto analyst Ali Martinez noted that Cardano’s key level to watch is $0.245 support. If ADA breaks decisively below this level, it could trigger a sharp decline toward $0.112 or even $0.051, potentially marking a 50%–80% drop from the current support zone.
For now, ADA sitting at a safe zone, as selling pressure appears to be less, while derivatives activity suggests speculative leverage is cooling.
If support holds and the ecosystem funding strategy begins to gain traction, ADA could see a gradual recovery. But until the token reclaims the $0.33–$0.40 resistance zone, the broader market structure remains cautious rather than fully bullish.
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