ADA: Cardano introduces on-chain decentralized governance with its Chang hard fork

  1. Cardano has launched the first phase of its Chang hard fork, beginning a transition to fully decentralized governance.
  2. Over 90 days, governance will gradually transfer from centralized structures to the community of ADA token holders, with an interim committee overseeing the transition.
  3. Despite the long fall of the ADA token, Charles Hoskinson remains optimistic about the future of Cardano, emphasizing the importance of this evolution towards a governance where each ADA holder will have an equal role.

The network Cardanoone of the oldest layer one blockchains, recently reached a crucial milestone in its evolution by launching the first phase of its hard fork Chang.

This change marks a significant transition towards a fully decentralized governancea first among major blockchains. Founded by Charles Hoskinsonco-founder of Ethereum, Cardano enters into what is called the Voltaire eraits final phase of development.

From centralization to community governance

The launch of the hard fork Chang represents the culmination of several years of development. So far, the Cardano governance was centralized, with decision-making structure controlled primarily by a central entity. However, with this update, blockchain is gradually transferring governance power to its ADA token holdersCardano’s native cryptocurrency. This process will take place over a period of 90 days, during which an interim committee will oversee the transition.

During this period, the ADA holders will be able to actively engage in governance by electing delegated representatives and participating in the ratification of a final constitution scheduled for early 2025. This governance model includes a constitutional committee, delegated representatives and staking pool operators, each playing a key role in the management of the ecosystem.

A clear objective: security and continuity

The aim of this first stage is to provide security and continuity during the start-up phase of governance, allowing delegated representatives to register and campaign for the delegation, while developing and ratifying a final constitution by early 2025.

This cautious approach aims to minimize risks while encouraging broad community participation, which is essential for the long-term success of the decentralized governance of Cardanoaccording to his team.

Challenges and opportunities for ADA

Although Cardano has had its ups and downs over the years, its token ADA has recently faced less favorable market dynamics. Once ranked among the top five cryptocurrencies by market capitalization, ADA recently fell out of the top 10overtaken by projects like the TRX from TRON and the Telegram Toncoin.

Despite these challenges, Charles Hoskinson remains optimistic. In a video posted on the social network X, he said: “When I think back to when we started, it was just an idea… we’ve grown a lot over the years. There have been ups and downs, a lot of disappointments, but now we’re here.” He also stressed that this day marked a historic moment where “the entire ecosystem, the community, every ADA holder stands side by side as equals, and all have a say in the future, not just of this protocol, but of what this protocol can accomplish for everyone in the world..”

Towards complete decentralized governance

At the end of the 90-day transition period, the second phase of the Chang hard fork will be activated, completely transferring power to the new governance structures. This phase will be crucial to test the resilience of the new system and to see how the ADA community takes ownership of his new responsibilities.

The article ADA: Cardano introduces on-chain decentralized governance with its Chang hard fork appeared first on Coin Academy

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