Cardano co-founder Charles Hoskinson has announced that an independent audit report addressing explosive allegations of a $600 million ADA scandal will be released in mid-August 2025. The audit responds to claims that Input Output Global (IOG) – Cardano's development company – improperly acquired 350 million ADA during the 2021 Allegra hard fork using a "genesis key" to manipulate the ledger.
Hoskinson vehemently denied the accusations, stating in a May 2025 post: "I'm absolutely disgusted... The headlines I've seen will require months if not years of work and millions of dollars to undo post-audit." He confirmed the audit's progress on July 20, 2025, revealing he will livestream a full reading of the report and establish a dedicated website to permanently host the findings alongside historical artifacts from ADA's initial sale.
IOG Chief Legal Officer Joel Telpner corroborated the timeline, noting legal and audit firms are finalizing their investigation. Hoskinson clarified that most of the contested 350 million ADA had been claimed by rightful owners, with the remainder transferred to Cardano governance body Intersect after a seven-year grace period. He also disclosed plans to meet with defamation lawyers next week regarding legal action against rumor propagators.
While some community members expressed concerns about audit scope and parameters, Hoskinson emphasized this release aims to restore institutional credibility amid fractured community trust. The audit coincides with IOG's broader technical roadmap for 2025-2026, including scalability upgrades like Hydra and Mithril, though these developments remain separate from the scandal investigation.