The Cardano community votes for the first time onchain to fund a major upgrade
Previously, the Cardano development team - InputOutput (IOG) self-funded and carried out most development activities. This is the first time the community directly approves the budget from the treasury for IOG with a 74% approval rate, marking the beginning of decentralized governance.
According to the proposal, IOG will withdraw 96M $ADA (~$71M) from the treasury to upgrade the network over 12 months. The funding will be managed independently by Intersect, disbursed upon reaching specific development milestones, through smart contracts and a separate oversight council.
Some key projects:
- Hydra: a fast, low-cost transaction processing protocol.
- Project Acropolis: restructuring Cardano nodes into flexible blocks, attracting new developers to participate and build.
Additionally, IOG also plans to optimize performance to reduce operational costs for stake pools, laying the groundwork for advanced smart contracts and better interoperability with other blockchains.