The Cardano community is set to inherit its more than $681 million treasury once the Chang hard fork is implemented.
The Cardano (ADA) community is on the brink of inheriting a treasury with ADA tokens worth approximately $681 million.
Cardano Community to Benefit from Chang Hardfork
Cardano possesses the 8th largest treasury in the cryptocurrency sector, following Uniswap, Arbitrum, and Ethereum.
In a significant development, this treasury is proceeding toward its transfer to its community.
Moreover, TapTools, a crypto asset tracker, identified the move.
Cardano’s treasury expanded through the accumulation of transaction fees and a fraction of block rewards.
The transfer of the $681.9 million treasury will coincide with the upcoming “Chang” hardfork upgrade.
However, this specific upgrade continues to serve as a pathway to achieve complete decentralization, in which Cardano holders will assume responsibility for the protocol’s governance.
Notably, the transfer reflects Cardano’s commitment to the promotion of community governance and decentralization.
Cardano community members will have the ability to propose and vote on any project that is eligible for treasury financing once the Chang upgrade is completed.
Notably, the treasury of other protocols includes a variety of crypto assets, including stablecoins, Bitcoin (BTC), and Ethereum.
Cardano’s treasury consists solely of its ADA tokens, which distinguishes it from the rest.
Meanwhile, blockchain networks typically employ their treasuries to expand their ecosystems, and Cardano followed suit.
Numerous observers observe that Cardano’s expanding treasury is indicative of the protocol’s increased network activity.
This has garnered it accolades from the same observers who maintain that its strategy of promoting ecosystem development is a critical component of its sustainability.
Cardano’s Three-layered Governance Structure
According to the present phase of Cardano’s roadmap, the governance structure is three-layered.
Meanwhile, the Cardano Foundation is accountable for the platform’s development and promotion.
The protocol also includes another layer, Input Output Global (IOG), formerly known as IOHK.
Precisely, IOG takes care of Cardano’s research and development.
However, EMURGO, a body responsible for commercial ventures, is the final layer.
Charles Hoskinson, Cardano’s founder recently provided the community with an update on the status of “Voltaire” implementation, amid concerns regarding the network’s health.
Furthermore, the final implementation of Voltaire, which signifies the dawn of communal governance, is currently in progress, as per Hoskinson’s statement.
Cardano’s founder’s assertion of a robust blockchain is emphasized by the company’s treasury and its relative position in comparison to its counterparts.
