DeFi
Cardano investors set to control $14 billion blockchain as Chang hard fork begins – DL News
- The Cardano Chang hard fork has finally begun.
- Chang will introduce decentralized governance to Cardano.
- The hard fork brings Cardano into the Voltaire era.
Cardano is one step closer to completing its highly anticipated Chang hard fork.
Cardano staking pool operators began upgrading their nodes to the network’s new software, dubbed Node 9.1.0, on Thursday. SPOs are validators on Cardano that authenticate transactions on the blockchain.
Chang’s hard work will transfer control of the $14 billion blockchain to ADA holders.
“Cardano node 9.1.0 includes all the necessary features to be able to traverse the Chang hard fork,” the node’s statement said. document on the Cardano GitHub said.
The hard fork will take place once at least 70% of all SPOs have been upgraded to the new node.
Cardano’s node density for the upgrade is 27% at the time of reporting, according to data from the Cardano PoolTool staking dashboard.
Once the required node density of 70% is reached, the event will trigger a new blockchain proposal to finalize the hard fork.
Hard forks involve major changes to a blockchain’s software, such that the network is no longer backward compatible with previous iterations once the process is complete.
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Major blockchains like Bitcoin and Ethereum have experienced hard forks in the past. Ethereum’s 2022 hard fork changed the network’s consensus from proof-of-work mining to proof-of-stake.
Cardano’s Chang hard fork will introduce decentralized governance to the blockchain similar to DeFi DAOs. The network upgrade is named Chang, after Cardano’s early evangelist Phil Chang, who passed away in 2022.
Decentralized governance would mean that Cardano is no longer under the control of the Cardano Foundation, Emurgo, and Input Output Global, the three entities previously in charge of administering Cardano.
Emurgo is the commercial arm of Cardano, while Charles Hoskinson owns Input Output Global, a blockchain development company.
With the transition to DAO-style governance, holders of Cardano’s native coin, ADA, will have the power to vote on changes to the blockchain.
Hoskinson previously said that this pivot to decentralized governance showed how much Cardano has matured over the years.
In addition to being able to vote on changes to the blockchain, ADA holders will also have rights over the project’s budget and treasury. ADA holders who are not in favor of active governance can also delegate their voting power to other participants.
Cardano’s hard fork, Chang, is the fifth network change for the blockchain. It will usher Cardano into the Voltaire era, which, according to the project’s roadmap, will decentralize control of the network.
Previous eras were called Goguen and Basho and they introduced network features like scalability and smart contract functionality.
Osato Avan-Nomayo is our DeFi correspondent based in Nigeria. He covers DeFi and technology. To share tips or information on articles, please contact him at osato@dlnews.com.