TechFlow News, according to Bitcoin.com, in a recent video address, Charles Hoskinson, co-founder of Ethereum and Cardano, focused on the issue of traditional financial institutions entering the cryptocurrency space, warning that cryptocurrencies are gradually moving toward centralization and the fundamental nature of digital currencies is at risk.
Charles Hoskinson noted that although stablecoins account for only 10% of the total cryptocurrency market capitalization, they dominate on-chain transaction volumes—approximately 70% of all transactions. Therefore, from a cryptocurrency perspective, ETH and Bitcoin rank below USDC and USDT in terms of transaction volume. Stablecoins serve as the industry's primary mechanism for value transfer, representing the vast majority of current on-chain activity and value movement.
According to Hoskinson, this centralizing influence could determine the direction of the DeFi economy and undermine the decentralized essence of cryptocurrencies.
