Cardano Launches Chang Update and Begins Voltaire Era
On September 1, 2024, Cardano reached a key milestone with the activation of the “Chang” update, marking a shift towards fully decentralized governance. Now, ADA token holders can actively participate in decision-making by voting on proposals and electing representatives.
ADA Holders at the Heart of Governance
The update introduces the CIP-1694 proposal, establishing a new user-driven governance structure. Three governance bodies are created: the Constitutional Committee, the Delegated Representatives (dReps), and the Staking Pool Operators (SPOs). This decentralization reduces the influence of the founding entities – the Cardano Foundation, IOHK, and Emurgo – on the strategic decisions of the network.
Phases of the Chang Update
The “Chang” update is rolling out in two phases. The first phase, already underway, establishes an Interim Constitutional Committee with limited powers. The second phase, scheduled for 90 days, will transfer all powers to the new governance bodies.
A Crucial Step for Cardano
This update marks the beginning of the Voltaire era, a step towards the full decentralization of Cardano. According to Giorgio Zinetti, CTO of the Cardano Foundation, this development will allow ADA token holders to play a central role in the future of the network. The update strengthens Cardano's alignment with the decentralized principles of the crypto industry and can also be seen as a protection against regulations by strengthening ADA's utility.
