‘Nothing to correct,’ declared Cardano’s Hoskinson after Minswap was shut down.

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Struggles with UTXOs, DApp problems, and congestion concerns following the launch of the Cardano testnet prompted users to seek assistance and complain on a variety of sites.

Minswap, a Cardano-based decentralised exchange, revealed on September 6 that it had “temporarily” shut down its testnet. Needless to say, the crypto-community was not pleased. Indeed, one Twitter user was quick to express his displeasure to IOHK’s Charles Hoskinson.

However, the Cardano Founder was quick to dismiss and deny any responsibility for Minswap.

Concurrency Conflicts

Minswap addressed its concurrency issues on 4 September, but many critics used these failures to point a finger at Cardano itself.

On 6 September, Minswap tweeted,

“It’s unfortunate that we have to shut down our testnet temporarily. We have gathered enough data from our testers to improve the fundamental of our DEX. In the next few days, we’ll publish our post-mortem, our scaling solution and when the testnet will be open up again.”

The DEX later added that it would reopen in a few weeks.

On the same day, Hoskinson livestreamed another video, one where he cited academic papers and crypto-literature. He claimed the resources would help users understand the ledger system and work around existing issues on the Cardano testnet.

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A Twitter user condemned Hoskinson’s tone and urged him to accept responsibility for Minswap’s difficulties.

Hoskinson’s refusal and subsequent explanation focused attention on Cardano FUDsters, as well as those who say only one transaction per block is feasible on Cardano.


On 5 September, behavior analysis platform Santiment revealed that Cardano was the number two trend on social media, according to its “rising topics” metric.

While recent ecosystem-centric updates may have contributed to this, it might also be attributed to FUD and developer difficulties following the launch of the Cardano testnet.


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Responsible Parties

The failure of Minswap and the manner in which Hoskinson removed himself from the situation demonstrated to customers one conceivable outcome of trading on a decentralised exchange during its testnet period.

It’s worth noting, however, that decentralized exchange SundaeSwap came to Cardano’s defense. SundaeSwap Labs published a document on Medium where it outlined some common “misconceptions” such as the ‘one transaction per block’ complaint. It also explained how Cardano took UTXOs to eUTXOs.

For his part, Hoskinson made sure to remind viewers of a famous precedent. He said,

“You know, UTXO model was not something we invented. It came from Satoshi [Nakamoto], and Bitcoin has been using it for 12 years successfully.”

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