Cardano Activates Plutus v3 with Chang Fork, But ADA Price Dips

Cardano recently marked a major milestone with the successful launch of the Alonzo hard fork, transitioning the blockchain into the Voltaire era, known for its decentralized governance features. This upgrade, significant for the proof-of-stake blockchain, had been eagerly anticipated by the Cardano community. Originally scheduled for late August, the launch faced a slight delay as some centralized exchanges needed additional time to prepare.

The Chang Fork: A Tribute to a Visionary

The Alonzo hard fork was aptly renamed the “Chang Fork” in honor of the late Phil Inje Chang, the former product manager at Input Output, who played a pivotal role in developing Voltaire. The hard fork activated Plutus v3, introducing advanced cryptographic primitives, enhanced performance, improved smart contract efficiency, and seamless governance integration. Rick McCracken, a prominent Cardano advocate, highlighted the significance of this upgrade on social media, noting that it not only activated community governance but also provided a substantial boost to scalability and interoperability.

Related article: Cardano’s Chang Upgrade Gains Momentum with Binance’s Endorsement

During a recent livestream, Cardano founder Charles Hoskinson emphasized the importance of the community’s role in the blockchain’s future. He remarked that the community is now “in the driver’s seat” and urged them to judge Cardano based on the merits of its ecosystem. Hoskinson praised the Cardano community for its unique qualities, including its intellectual strength, with more PhDs than any other blockchain community combined. He also noted that unlike Bitcoin, Cardano has the ability to upgrade itself regularly, further empowering its decentralized governance model.

Market Reaction: ADA Price Drops

Despite the excitement and significance of the Chang Fork launch, ADA, Cardano’s native token, experienced a decline in its market price. Over the past 24 hours, ADA’s price dropped by 3.1%, leaving it in 12th place by market capitalization. The market reaction has raised questions among investors, as the successful launch of such a crucial upgrade would typically lead to a positive price movement.

Related article: Cardano Prepares for Major Upgrade: Chang Hard Fork Scheduled for September

However, it appears that broader market trends and investor sentiment may have outweighed the positive news of the hard fork, at least in the short term. While the Alonzo hard fork’s successful launch and the transition to the Voltaire era are major achievements for Cardano, the immediate market response has been less enthusiastic.

The ADA token’s price decline suggests that investors may be taking a cautious approach, waiting to see how the new governance features and technical improvements will impact the blockchain’s long-term growth and adoption.