u.today
Cardano founder Charles Hoskinson recently provided an important clarification regarding the governance actions of the Cardano blockchain.
Hoskinson suggested that the full treasury power will come into play after the deployment of decentralized representatives (dReps), not contingent upon the establishment of a final constitution. This significant milestone is expected to occur approximately 90 days following the major Cardano upgrade, Chang hard fork.
Cardano has been steadily evolving its governance mechanism to ensure a more decentralized and community-driven approach.
Full treasury power is in play after dreps have been enabled, not when there is a final constitution. This should occur around 90 days after the Chang hard fork.
— Charles Hoskinson (@IOHK_Charles) June 13, 2024
In November 2022, CIP-1694 was published, kickstarting a new era for the Cardano network. It outlines a governance structure that brings decision-making for the Cardano network on-chain. It aims to improve the present governance framework so that all ADA holders have a say in Cardano's governance.
Three key governing bodies play roles on-chain to secure consent on proposals submitted by the community (otherwise known as governance actions). The three roles played by the community are Delegated Representatives (DReps), Constitutional Committee (CC) and Stake Pool Operators (SPOs).
The interim period encompasses both on-chain technical features and off-chain actions that take place between the Chang Initial Update and the constitution's on-chain ratification. The Bootstrapping Period allows DRep registrations on the mainnet in preparation for the final governance features deployed in step 2 of the Chang Upgrade.
The interim period is also designed to provide stability. Each of the new on-chain governance roles (DReps, Constitutional Committee members and SPOs) will go through their bootstrapping process, allowing them and the community to adjust to the CIP-1694 governance mechanisms.
The Cardano founder was reacting to a post by Patrick Tobler, CEO of NMKR, who praised the ADA community's participation in the Interim Constitutional Committee election.