Cardano is about to hand over its $682 million treasury to the community

Upcoming upgrades will hand over Cardano's treasury to the community. Cardano owns the 8th largest treasury in the crypto industry.

Cardano, the layer-1 Proof of Stake (PoS) blockchain launched in 2017, is approaching its milestone - handing over control of its $681.9 million treasury to the community.

Unlike most blockchain protocols, Cardano's treasury only includes ADA tokens, rather than a variety of stablecoins or other digital assets such as Bitcoin and Ethereum.

Cardano has the 8th biggest treasury in the industry, and it's being handed over to the community.#ChangHardFork @Cardano @IOHK_Charles pic.twitter.com/jXgquu8QsV

— TapTools (@TapTools) June 14, 2024

The above development is determined by the "Chang" hard fork expected to be implemented in Q2/2024 with the aim of completely decentralizing Cardano - where the community of ADA token holders will take over the governance of the network. .

In a post on Complete centralization through implementation of on-chain governance (governance on-chain) - underway.

"Voltaire" will focus on implementing two upgrades:

- Plutus V3: Programming language version to execute and develop Cardano's main smart contracts. Thereby, introducing new cryptographic principles including Zero-Knowledge (ZK), allowing the construction of ZK-Rollups and ZK smart contracts.

- CIP-1694: Proposal to allow ADA token holders to vote on topics and features that benefit the development of the Cardano ecosystem through Intersect, with 3 separate governance bodies to function Specific capabilities in the new framework are:

• Constitutional Commission (ICC).

• Delegated Delegates Group (DReps).

• Stake Pool Operators of the system - Stake Pool Operators (SPOs).

Other entities participating in the board include Input Output Global (IOG) - formerly IOHK, responsible for Cardano's research and development - and EMURGO, which focuses on commercial projects.

It looks like June will be the month that Cardano Node will reach 9.0. This means that Cardano is Chang fork ready and waiting for 70 percent of the SPOs to install the new node. Then, a hard fork can occur pushing Cardano into the Age of Voltaire.

It's the most significant…

— Charles Hoskinson (@IOHK_Charles) June 9, 2024

Most DeFi experts see Cardano's growing treasury reserves as a reflection of increased network activity, as the treasury accumulates funds from transaction fees and block rewards. Like most blockchain networks, Cardano uses its treasury to promote ecosystem development and most "laud" this structure as a fundamental pillar for the project's sustainability.

It is worth mentioning that Cardano still decided to proceed to the final development era "Voltaire" to decentralize the network, despite the "boos" of the loyal investor community over the ADA token price. .

At the time of writing, the ADA token is trading around 0.42 USD, corresponding to an increase of more than 50% in the past year (June 14, 2023 - June 14, 2024), at its peak it only reached about 200% at $0.77 mark. During the same period, another layer-1, Solana (SOL), showed "outstanding" growth of up to 850%, at the "peak" of more than 1,200%.