Tuesday, 15 Apr 2025

Ada-News: Internal tensions-Cardano leadership disagree about budget strategy

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16 Mar 2025 13:09
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  • The intention of the Cardano Foundation, which can be reduced by 44% input output, has community reactions-fears are feared for research and development.
  • Critics ask whether the budget cuts are financially necessary or a strategic move to postpone power within the Cardano system.

Cardano is at a critical point because the governance develops from decentralized decision -making towards a structured constitution. A growing gap threatens stability while the system of control is approaching. The long -standing tensions between the Cardano Foundation and Input Output are more intense in the middle Budget negotiations escalated for 2025.

An important conflict point arose when the Cardano Foundation suggested a 44% reduction in the Input Output, which reduced the assignment of 69.8 million ADA to 38.8 million. The reduction around 31 million ADA affects core development, technical control and open source initiatives and triggered broad rejection in the community.

Source Cardano: Foundation

The budget talks, which were recorded in October 2024 under the supervision of Intersect, took a decisive turn in February 2025 when a proposal draft appeared. While the negotiations extend until May, the unexpected medium -cutting has triggered a heated debate about the priorities of the network.

Community resistance to cuts in research and technology

The proposed medium cuts triggered great concern. Many emphasize The importance of open source libraries and core protocols as fundamental components of cardano development. A prominent community member expressed strong resistance and explained that the initiative seems to weaken the IOG. He said:

“For me, this proposal looks like CF is trying to undermine the IOG. It makes no sense to save on research and technology, as this is one of our unique selling points. ”

The founder of Cardano, Charles Hoskinson, further heated up the discussion by confirming this point of view with a GIF on which it was read: “This Guy Gets IT” brought his reaction to the growing frustration within the Cardano ecosystem in which the fear of suffocation and the development efforts are in the foreground.

Beyond the online discussions, the skepticism of the motives for the budget cuts has grown. Critics are wondering whether the decision was made out of financial necessity or whether it is an attempt to redesign the power structures within the ecosystem. Some speculate that the stricter control over the influence of the Swiss government on the Cardano Foundation could have influenced the self -confident attitude of the organization.

Cardano Foundation defends budget decision

Despite the counter reaction, the Cardano Foundation insists that the proposed cuts are based on financial caution and not on malice. Nicolas Cerny, head of the Governance department, defended himself against the allegations and explained:

“There was a call for feedback that we have met and we carefully checked all household items of the various suggestions. I believe that the CF as an active participant in Cardano’s governance area has the obligation to make contributions. ”

A detailed table shows that the foundation lists problems such as the doubling of posts and lack of transparency as a justification for the cuts. However, these explanations have not contributed to appeasing the frustration of the community, as many question whether the reduction in development financing corresponds to the long -term vision of Cardano.

Cerny encouraged more use of the Cardano open source tools and emphasized the importance of long-term self-sufficiency. He argued that the constant dependence on state subsidies for development and maintenance causes concerns about sustainability.

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