Cardano Developer Submits Reduced Funding Request for 2026, Focusing on Scalability and Bitcoin DeFi

The company behind the Cardano blockchain is seeking a reduced amount of funding from the project's treasury, marking a shift towards greater financial independence. Input Output has submitted nine proposals for 2026, totaling $46.8 million, down from $97.5 million in the previous year. The proposals prioritize scaling the Cardano network to increase its transaction capacity and expanding into Bitcoin DeFi. This reduced funding request is part of a plan to gradually decrease Input Output's reliance on community funds, with the goal of becoming self-sufficient through its own revenue. By the end of 2026, the company expects smaller, specialized teams to take over most of its in-house work, including firms like VacuumLabs and Midgard Labs. The proposals are divided into two main themes: the Leios consensus upgrade, which aims to increase Cardano's transaction processing capacity by 10 to 65 times, and the Pogun system, which seeks to bring Bitcoin-based decentralized finance to Cardano. The voting process, which runs through May 24, will be overseen by roughly 1,000 elected delegates, and the outcome will test the Cardano community's approach to governance and funding.