Next Cardano Hard Fork Will Bring 5 Key Changes, Reveals Emurgo

Source Bitcoinist

EMURGO, a founding entity and the commercial arm of the Cardano blockchain, has disclosed five significant updates set to be introduced in the upcoming second phase of the Chang hard fork. In a blog post published on October 29, EMURGO outlines the advancements that will further Cardano’s progression toward full decentralized governance and enhanced network functionality.

The first part of the Chang hard fork was successfully activated on September 1. The first phase implemented critical changes, such as the burning of genesis keys, granting voting power to the Interim Constitutional Committee, and embedding the hash of the Interim Constitution on-chain.

While the activation date for Chang Hard Fork Part 2 has yet to be announced, the revealed updates are poised to empower the Cardano community further and solidify the network’s decentralized governance model. Below are the five key changes expected in the upcoming hard fork:

#1 Cardano’s DRep Voting

The introduction of Delegate Representative (DRep) Voting is a cornerstone of the second phase of the Chang Hard Fork. DReps will become one of the three primary governing bodies within Cardano’s future governance structure, serving as a mechanism for community-driven decision-making.

“Once fully integrated, DReps will have the authority to vote on proposals and governance actions submitted by the Cardano community […]. This makes their role essential for representing the voice of ADA holders on the network,” EMURGO states.

Registration to become a DRep is currently open. Interested parties are required to make a one-time deposit of 500 ADA to obtain an on-chain DRep certificate, officially designating them as registered members.

#2 SPO Voting

Stake Pool Operator (SPO) voting is another significant upgrade in Chang part 2, granting infrastructure providers a direct role in governance. As core governing bodies on the Cardano network, SPOs will soon be able to leverage the ADA delegated to their pools as voting power.

“With this update, SPOs can soon leverage the ADA delegated to their pools as voting power,” EMURGO explained, adding: “This means they, like DReps, can vote to approve or reject community-proposed governance actions, helping shape Cardano’s future.”

The influence of SPOs will depend on the amount of ADA delegated to them, making it crucial for SPOs to maintain delegation levels and communicate decisions transparently to delegators.

#3 Governing Actions

The implementation of governing actions is a key feature in Cardano’s move toward full decentralized governance. These actions are proposals that any member of the Cardano community can submit. With the activation of Chang hard fork part 2, ADA holders will be empowered to create and submit these proposals.

“To initiate a proposal, ADA holders must make a small ADA deposit, which is fully refunded after voting ends, regardless of the result,” the blog post details. Governing actions will be subject to voting by both SPOs and DReps. “Through these mechanisms, Cardano is truly placing control in the hands of ADA holders, further strengthening its decentralized governance framework,” EMURGO notes.

#4 Cardano Treasury Withdrawals

Chang part 2 will introduce a treasury withdrawal system linked to successful governing actions, enabling the funding of community-approved initiatives directly from Cardano’s treasury. “This mechanism enables ADA holders to actively shape how treasury funds promote network growth,” EMURGO states. “Rather than merely serving as suggestions, these governing actions become actionable, community-driven projects with dedicated resources for execution.”

#5 Expanded Constitutional Committee

The completion of Chang part 2 will allow for the expansion of the Constitutional Committee. Currently limited to a fixed membership of seven in the interim phase, the committee will open its doors to additional members post-upgrade.

“The expanded committee will welcome individual members as well as representatives from companies, DAOs (decentralized autonomous organizations), NGOs, and other groups within Cardano,” EMURGO reveals. “Each entity can appoint a representative to participate in the Constitutional Committee’s operations, adding a potential new layer of inclusivity to Cardano’s decentralized governance framework.”

EMURGO concludes the blog post by emphasizing the collaborative nature of these developments: “Through these enhancements, Cardano is truly placing control in the hands of ADA holders, further strengthening its decentralized governance framework.”

At press time, ADA traded at $0.3564.

Cardano price
Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Natural Gas sinks to pivotal level as China’s demand slumpsNatural Gas price (XNG/USD) edges lower and sinks to $2.56 on Monday, extending its losing streak for the fifth day in a row. The move comes on the back of China cutting its Liquified Natural Gas (LNG) imports after prices rose above $3.0 in June. It
Author  FXStreet
Jul 01, Mon
Natural Gas price (XNG/USD) edges lower and sinks to $2.56 on Monday, extending its losing streak for the fifth day in a row. The move comes on the back of China cutting its Liquified Natural Gas (LNG) imports after prices rose above $3.0 in June. It
placeholder
Microsoft FY25Q1 Earnings Preview: Will Concerns Over Copilot’s AI Returns Ease? Insights - Microsoft (MSFT) is set to announce its Q1 FY2025 earnings after the market closes on October 30, 2024.
Author  Mitrade
23 hours ago
Insights - Microsoft (MSFT) is set to announce its Q1 FY2025 earnings after the market closes on October 30, 2024.
placeholder
Is the U.S. Election the Catalyst for Meta’s Earnings?Insights - With AI continuously enhancing advertising efficiency and the U.S. election driving a significant increase in ad spending, Meta’s performance is expected to surpass market expectations.
Author  Mitrade
22 hours ago
Insights - With AI continuously enhancing advertising efficiency and the U.S. election driving a significant increase in ad spending, Meta’s performance is expected to surpass market expectations.
placeholder
Ethereum Co-Founder Buterin Introduces ‘The Splurge’ UpgradeEthereum co-founder Vitalik Buterin has unveiled “The Splurge,” a comprehensive set of protocol upgrades aimed at addressing a variety of challenges within the Ethereum ecosystem. I
Author  Bitcoinist
18 hours ago
Ethereum co-founder Vitalik Buterin has unveiled “The Splurge,” a comprehensive set of protocol upgrades aimed at addressing a variety of challenges within the Ethereum ecosystem. I
placeholder
2 Things to Watch When Uber Reports Its Q3 2024 ResultsTradingKey - Two decades ago, ride-hailing wasn’t a term that anyone had heard of. However, the rise of massive ride-hailing platforms have changed that and allowed anyone to catch a card ride when th
Author  Mitrade
15 hours ago
TradingKey - Two decades ago, ride-hailing wasn’t a term that anyone had heard of. However, the rise of massive ride-hailing platforms have changed that and allowed anyone to catch a card ride when th
goTop
quote