Cardano Developer Seeks Reduced Funding of $46.8 Million for Expansion and DeFi Integration

Input Output, the company responsible for building and maintaining the Cardano blockchain, is requesting roughly half the funding it sought last year from the project's community treasury. The company has submitted nine proposals totaling $46.8 million for 2026, with a focus on enhancing the network's scalability and exploring Bitcoin DeFi opportunities. This reduced funding request marks the first step in Input Output's plan to decrease its reliance on community funds and become self-sufficient. The proposals are divided into two main categories, with the first focusing on a consensus upgrade called Leios, which aims to increase Cardano's transaction processing capacity by 10 to 65 times. The second flagship proposal involves a system called Pogun, designed to bring Bitcoin-based decentralized finance to Cardano, allowing bitcoin holders to borrow and earn yield on their holdings without relying on centralized intermediaries. Additional proposals address performance improvements, security testing, and developer tools. Each proposal is tied to specific delivery milestones, ensuring that funding is released in stages as different components are completed. The voting process, which is set to begin and will run through May 24, will be overseen by approximately 1,000 elected delegates representing ADA holders. The outcome of the vote will indicate whether the Cardano community's approach to funding has shifted, given the emergence of alternative development paths.