Cardano transitions to decentralized governance after Chang Hard Fork

The Layer-1 Cardano blockchain, founded by Ethereum co-founder Charles Hoskinson, has completed its long-awaited Chang hard fork, entering the final stages of the project’s development called the Voltaire era (the last era of the roadmap of the block chain, focused on decentralized governance).

Completed on September 1 at 21:44 UTC on block 10764778, the update will transform Cardano’s governance, where ADA holders can submit or participate in voting processes on governance actions.

Commenting on X’s milestone, the Cardano Foundation, the non-profit that powers the Cardano ecosystem, said:

Today’s Chang hard fork marks an important milestone for the Cardano blockchain, ecosystem, and community, fulfilling the promise of a decentralized and truly self-governing network. Welcome to a new era of decentralized governance: Voltaire.

Decentralized government

As stated in the Cardano Docs, Chang will activate the blockchain enhancement proposal-1694, which allows ADA holders to vote independently or delegate their voting power to trusted delegated representatives (DReps).

Chang will be gradually implemented in two stages. The first, which will occur over the next 90 days from the completion of the upgrade, will introduce initial governance features overseen by an interim committee. In this, DReps can register and token holders can delegate their voting power.

“The aim of the first stage is to ensure security and continuity during the start-up phase of the government, allowing DReps to register and campaign for the delegation, while developing and ratifying a final constitution in early 2025 ” said the Cardano Foundation.

The second stage, which will start immediately after the first, will empower the Cardano community. During this phase, entities such as DReps, SPOs and the Interim Constitutional Committee can vote on government actions.

Price reaction

Meanwhile, despite the update, ADA, Cardano’s native token, failed to impress. The token fell more than 4% in the update to exchange hands at $0.3297.

Its disappointing performance has pushed it out of the top 10 cryptocurrencies by market capitalization list, behind TRON and TRX.

However, there are certain factors that could suggest an impressive rally ahead for ADA if the crypto bull run resumes. You can find more information on the topic here.

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