The Project That Scared Ethereum’s Founder
Cardano founder Charles Hoskinson revealed that NXT was the crypto project that almost overshadowed Ethereum in its early days. Hoskinson, who was Ethereum’s CEO from 2013 to 2014, admitted that NXT scared him more than any other cryptocurrency at the time.
NXT’s Impressive Rise
NXT emerged from obscurity and experienced rapid growth in just three months. It was built on Java and had a strong community. NXT also offered features such as proof-of-stake (which Ethereum didn’t have yet) and user-driven assets.
What Went Wrong for NXT
Despite its early promise, NXT ultimately failed. Hoskinson believes this was due to poor token distribution and a lack of effective governance. The team fractured and splintered into new projects.
The Importance of Governance
Hoskinson emphasized the critical role of governance in crypto ecosystems. He believes that poor governance can kill a project, as it did with Microsoft in comparison to Google, Apple, and Facebook.
Cardano’s Focus on Governance
Cardano is poised to implement the Chang Hard Fork, which will introduce the “Voltaire” era. This upgrade will establish decentralized governance, where the community will have a say in the project’s direction. Hoskinson claims that Voltaire will be the “most advanced blockchain governance system.”
