Cardano, known for its innovations, is getting ready for the second phase of its Chang Hard Fork. Cardano’s development company, EMURGO, has shared five important updates for the next phase.
Cardano Chang Hard Fork Phase 2: What is Coming?
Recall that the Chang Hard Fork went live on the mainnet a month ago and ushered in Cardano’s Voltaire era. With phase 1 ushering in Interim Constitutional Committee (ICC) voting, the next stage seeks to expand this.
One of the most awaited updates in Phase 2 is Delegate Representative (DRep) Voting. This feature will let Cardano holders choose representatives who can vote for them. This makes it easier for users who need more time or knowledge to take part in every proposal while still having a voice.
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Stake Pool Operator (SPO) Voting is an important update to help Cardano’s SPOs govern the network actively. SPOs validate transactions and keep the network secure. With SPO Voting, these operators will directly influence key decisions, allowing ADA holders to have a voice in its future.
The third upgrade focuses on Governing Actions. This update will let the Cardano community propose and vote on important system changes. Another significant update expected in Chang Hard Fork Phase 2 is Treasury Withdrawals. With Treasury withdrawals, the community will access the Treasury’s funds through collective voting.
It provides more financial independence for the Cardano community, promotes sustainable development, and reduces dependency on external funding. The final update is the Expanded Constitutional Committee. This will create a governance body to oversee major decisions within the ecosystem.
The timeline for Phase 2 is still unclear, but early 2025 is the most likely target. Meanwhile, these updates are important for changing how decisions are made on the network. Furthermore, they support Cardano’s goal of becoming a fully decentralized and self-sustaining blockchain ecosystem.
ADA Price and Current Projections
Intriguingly, ADA, the blockchain’s native cryptocurrency, has continued to see price surge along with the overall cryptocurrency market. Investors feel optimistic, especially with the upcoming Chang Hard Fork Phase 2. As the network’s capabilities grow, ADA may have the potential for further gains.
ADA has seen an increasing surge in Total Value Locked (TVL) amid general market optimism. Momentum is credited primarily to the rising use of DeFi protocols on Cardano and constant improvements to the network to increase throughput and reduce transaction costs.
Over the past 24 hours, the ADA price climbed over 1% and was trading for $0.3549 as of writing.
Market analysts still favor ADA, pointing to ongoing developments and the rising TVL as reasons for potential future growth. However, they also warn that cryptocurrency markets remain highly volatile. Hence, investors should watch out for risk and updates from the Cardano team.
Cardano and Bitcoin Connection
Just recently, Cardano teamed up with BitcoinOS to unlock $1.3 trillion of Bitcoin liquidity through a Bridge integration.
The integration is intended to make Cardano a smart contract layer on Bitcoin. This will allow Cardano DeFi developers to interact with the Bitcoin market directly.
The duo revealed this partnership during the Cardano Summit 2024, which demonstrated Cardano’s desire to become a leader in the broader blockchain space. The BOS Grail bridge, a component of this initiative, provides a connection for Bitcoin transactions.
With this bridge, Cardano developers can leverage the liquidity of Bitcoin, a much-desired update for both ecosystems.
