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

The organization responsible for building and maintaining the Cardano blockchain, Input Output, is requesting a substantially lower amount of funding from the project's treasury, marking a key step towards reducing its dependence on community funds. The company has submitted nine proposals, totaling $46.8 million, to be voted on by the community for the 2026 funding cycle. This amount is roughly half of the $97.5 million requested in the previous year. The proposals focus on enhancing the blockchain's scalability, specifically through a consensus upgrade called Leios, which aims to increase transaction processing capacity by 10 to 65 times. Additionally, there are plans to integrate Bitcoin DeFi through a system called Pogun, allowing bitcoin holders to participate in decentralized finance on the Cardano network without needing a centralized intermediary. Other proposals cover improvements to the smart contract engine, security testing, developer tools, and API services. Each proposal is tied to specific delivery milestones, ensuring that funding is released in stages as different parts of the project are completed. The voting process, which is open to roughly 1,000 elected delegates representing ADA holders, will determine the fate of these proposals and reflect the community's shift in governance and funding priorities.