TL;DR

Cardanos community overwhelmingly approved multi-million-dollar funding to support the further progress of the blockchain protocol. Despite the news, ADA’s price remains in the red on a weekly scale, while analysts remain split on its future trajectory.

The Community Said Yes

Input Output Global, the core development team behind the Cardano blockchain, has been approved for funding for its protocol roadmap proposal. The sum equals roughly $71 million worth of ADA and will be taken from the Cardano treasury a fund that accumulates tokens over time and is used to finance ecosystem developments.

The proposal received overwhelming support, with 74% of voters clicking yes. Tim Harrison EVP Community Ecosystem at Input Output described this as a milestone moment for Cardano and noted that this is the first time a core protocol development will be funded directly by the community.

This vote of confidence empowers us to move forward with full transparency, shared responsibility, and a renewed commitment to building an open, resilient ecosystem, Harrison added.

The team will use the capital to implement several key upgrades, including unlocking higher throughput without compromising security or decentralization, improving Cardanos layer-2 scaling solution Hydra, laying the technical groundwork for more advanced smart contracts, reducing operational costs for stake pool operators, and more.

Ricky Rand (General Manager at Input Output) and Charles Hoskinson (co-founder of Cardano) also chipped in. The former said the securing of this funding is just the start, adding that the real work begins now. 

Hoskinson shared the news on his personal X account, expressing gratitude to the community for their support and trust. Lets get it done, he added.

ADA Price Outlook

The news of the approved funding emerged over the weekend, but it didnt trigger any price spike for Cardanos native token. In fact, ADA briefly dipped below $0.70 on August 2 before rebounding slightly to its current level of $0.74 (per CoinGecko data).

ADA Price, Source: CoinGecko The community is split in their predictions about the assets next potential move. Some believe the valuation could soon exceed $3 and tap a new all-time high of over $4.

Others like Ali Martinez, though, made more bearish forecasts. The popular analyst recently suggested that ADA could be poised for another correction as the TD Sequential indicator flashed a sell signal on the four-hour chart.