Cardano Founder Reveals Plan To Sell Security To Other Blockchains

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In his latest livestream, Cardano founder Charles Hoskinson laid out a bold vision for the blockchain’s future, outlining how the network could monetize its robust security infrastructure by selling it to other blockchains. The proposal revolves around actively validated services (AVS), a growing trend in the crypto space that leverages existing proof-of-stake security to support external networks.

Cardano As A Universal Security Provider

Hoskinson explained that Cardano’s proof-of-stake (PoS) system is among the most secure in the industry and that leveraging it as a service could create a lucrative new revenue stream. “We recognize that the PoS of Cardano is pretty secure,” he stated. “It’s a $25 billion price tag over two [years]… It’s very expensive to build a network with this level of security. So why can’t we sell it?”

The concept of AVS enables blockchain networks to effectively rent security from established chains, reducing the costs and barriers to launching new networks while simultaneously enhancing security. Hoskinson referenced networks like EigenLayer and Karak, both of which have already implemented similar models, attracting significant investment.

“Partner chains research is about turning Cardano into a universal AVS layer like Karak,” he said, pointing out the value proposition in the tens of billions of dollars. He also highlighted how other projects using AVS have already secured partnerships with major players in the industry, including Coinbase, Lightspeed, and DCG.

Under this model, Cardano’s stake pool operators (SPOs) would benefit from multiple revenue streams, earning additional tokens that could either be converted back into ADA or held separately. This model could also generate revenue for the Cardano treasury, depending on how it is structured.

“The stake pool operators get multiple revenue streams as a result of this,” Hoskinson noted. “They can convert those tokens back into ADA, or they can keep them in their own right, and the Cardano treasury can also get them if it’s appropriately designed.”

Multi-Resource Consensus

Beyond AVS, Hoskinson detailed another significant shift for Cardano’s roadmap: multi-resource consensus. This concept involves combining different consensus mechanisms—such as proof-of-stake and proof-of-work—to increase network resilience and inclusivity.

The shift toward multi-resource consensus is driven by concerns over potential attacks on PoS networks. “Let’s say that proof-of-stake can be attacked—the U.S. government buys all the ADA and 51% attacks us. Well, what about the hash power or something else?” he posed.

Hoskinson emphasized that integrating multiple consensus mechanisms would not only fortify the network but also open doors to new applications, including AI and social media. “Being able to layer multiple consensus algorithms together is super cool because not only do you get the most resilient network—it’s really hard to shut down—but you can start aggregating many different resources,” he said.

Hoskinson framed the ongoing discussions around the budget and roadmap as a critical juncture for the project. “Does Cardano have so much of a network effect like Bitcoin that it can afford to stagnate?” he asked. “Selling our consensus services means that we’re monetizing an asset we already own. It’s not a hypothetical—like, should we go buy this or not? We already own it. Should we sell it?”

As Cardano prepares for the next phase of its development, Hoskinson committed to making more videos discussing the roadmap and the rationale behind key decisions. “Throughout this month, I’m going to be talking a lot about the roadmap and why these things are there,” he said.

At press time, ADA traded at $0.8184.

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