- Cardano approved $71 million to upgrade its network with faster transactions and improved developer tools.
- The funding includes transparency measures amid some community concerns about costs.
Cardano’s community has approved a $71 million treasury spend to fund important upgrades aimed at improving the network’s speed, scalability, and developer experience. This funding marks a significant step forward in Cardano’s plan to enhance transaction performance and increase interoperability with other blockchains.
$71 Million Funding Drives Key Cardano Upgrades
Input Output Global (IOG), the core development team behind Cardano, received approval to withdraw 96 million ADA—about $71 million—from the treasury. The proposal passed with 74% support from voters, signaling strong community confidence.
The 12-month upgrade plan targets faster transaction processing, lower costs, and easier onboarding for developers. Key projects include Hydra, which offers fast, low-cost transactions, and Project Acropolis, designed to improve the flexibility of the Cardano node and simplify developer access.
Milestone-Based Payments and Strong Accountability
To maintain transparency and accountability, Intersect, a Cardano member-based organization, will oversee milestone-based payments to the development team. Smart contracts and a dedicated committee will monitor the proper use of funds.
IOG will publish monthly updates, engineering timesheets, and quarterly budget reports to keep the community informed and ensure responsible spending throughout the upgrade process.
Community Feedback Highlights Cost and Transparency Concerns
Although the proposal won wide support, some community members raised concerns about the size of the funding and the need for more detailed budget breakdowns. Some suggested splitting the proposal into smaller, vote-specific projects for better oversight.
A competing proposal from Cardano’s Technical Steering Committee (TSC) sparked discussion but was not endorsed by Intersect. The community ultimately chose the IOG plan, showing trust in the core development team.
Cardano Competes with Other Blockchain Upgrades
Cardano is joining other major blockchains in upgrading their networks this year. Solana recently increased its block capacity by 20%, and Ethereum raised its gas limit to process more transactions per block. Ethereum’s Pectra hard fork in May added new features, with further upgrades planned by the end of 2025.
With this $71 million investment, Cardano aims to deliver faster, cheaper, and more scalable blockchain performance to meet growing demands.
This treasury approval marks a major milestone for Cardano’s future. Stay updated as these network upgrades roll out and shape the blockchain landscape.
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