Trump's "new favorite" releases financial report! Cardano Foundation: Asset reserves rise to $659 million, Bitcoin accounts for 15%.

The Cardano Foundation, the organization behind the Cardano public blockchain, recently released its latest financial report, indicating a significant rise in total assets, from $478.24 million at the end of 2023 to $659.1 million in 2024. At the same time, the Foundation also stated that it officially launched the enterprise-level financial reporting system Reeve based on the Cardano Blockchain on July 8, aiming to enhance the transparency and security of financial data.

It is noteworthy that Trump announced in March through his own social platform Truth Social that he would include cryptocurrencies in the United States' strategic reserves, including Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Solana (SOL), and Cardano. This means that, in addition to Bitcoin, Cardano has also joined Trump's "new favorite" ranks. This financial report not only demonstrates the financial strength of the Cardano Foundation but also provides new evidence for its position in the cryptocurrency market.

Cardano's total asset value has significantly risen, and asset allocation is diversified

According to its latest financial report, the total assets of the Cardano Foundation rose from $478.24 million at the end of 2023 to $659.1 million in 2024, a significant increase mainly due to the rise in cryptocurrency market prices.

In terms of asset composition, Cardano's native token ADA accounts for 76.7% of the foundation's assets, approximately 599.2 million tokens, which is a slight decrease from 83% in 2023. Bitcoin accounts for 15% of the assets, roughly equivalent to 99 million USD. The remaining 8.3% is in cash and equivalents, serving as liquidity reserves.

It is worth mentioning that previously, Cardano founder Charles Hoskinson proposed to use approximately $100 million worth of ADA to exchange for Bitcoin and stablecoins to further diversify the foundation's assets. However, this proposal was opposed by the community due to the potential weakening of ADA's core position in the ecosystem. Nevertheless, the foundation's asset allocation still shows a trend towards diversification.

The main source of income is staking rewards, and the Reeve system enhances transparency

The Cardano Foundation pointed out that its main source of income is staking rewards. In 2024, the Foundation earned 17.1 million ADA in staking rewards by holding 599.2 million ADA, with an annualized return rate of 2.7%. At the same time, the Foundation prioritizes delegating staking to pools that actively contribute to the Cardano ecosystem to support the decentralized development of the network. However, as the Cardano reserve pool releases 0.22%-0.3% of ADA every five days, the staking return rate is showing a downward trend, and future income may rely more on transaction fees.

In order to enhance the transparency and security of financial data, the Cardano Foundation officially launched Reeve on July 8. The official statement indicates that this is an enterprise-level financial reporting system based on the Cardano Blockchain. The features of Reeve include:

Blockchain Integration: As an open-source "ledger on the blockchain," Reeve seamlessly integrates with Enterprise Resource Planning (ERP) systems, recording financial data on the Cardano blockchain to ensure that the data is immutable and verifiable.

Transparency and Efficiency: Addressing data silos and fraud risks in traditional financial reporting, providing a fast and low-cost audit process.

Flexibility: Enterprises can manage data visibility based on their needs, protecting sensitive information while making audit-able data public.

The foundation added that Reeve's application scenarios cover non-governmental organizations (NGOs), ESG-oriented enterprises, and public institutions, particularly suitable for scenarios that require high transparency and compliance. Currently, the Cardano Foundation has taken the lead in importing its 2024 financial report into the Reeve system, publicly disclosing its expenditure and income data as a demonstration of transparency. At the same time, the code of Reeve has been publicly released on GitHub (version 1.0.0), and the foundation is seeking partners for pilot projects, with plans for a full public launch in the second quarter of 2025.

Conclusion:

The latest financial report from the Cardano Foundation not only showcases its robust financial condition and diversified asset allocation but also actively promotes the application of Blockchain in enterprise-level financial transparency through the launch of the Reeve financial reporting system. With Cardano joining the strategic reserve list of the Trump administration, its credibility in the market is expected to further enhance, providing a solid foundation for the continued development of its ecosystem.