- Cardano Foundation allocates eight-figure ADA sum for stablecoin liquidity boost.
- Real-world asset tokenization receives over $10 million funding commitment.
- New delegated representatives program gets 220 million ADA allocation.
The Cardano Foundation has announced a comprehensive strategy aimed at accelerating mainstream adoption of the ADA ecosystem. The initiative includes multiple funding streams targeting key growth areas within the blockchain network.
Tuesday’s announcement outlined the Foundation’s plan to address stablecoin liquidity challenges on Cardano. The organization will deploy eight-figure ADA amounts to support native stablecoin projects, targeting increased DeFi activity on the network.
Current stablecoin market capitalization sits at $307 billion according to CoinMarketCap data.
Treasury Proposal Targets DeFi Growth
A governance proposal currently under review seeks to allocate 50 million ADA, valued at approximately $40.65 million, from the treasury reserves. The Stablecoin DeFi Liquidity Budget aims to enhance liquidity conditions for fiat-pegged tokens operating on Cardano infrastructure.
Real-world asset tokenization represents another priority area receiving substantial funding. The Foundation has committed over $10 million to support RWA projects launching on Cardano, working alongside MembersCap to attract both retail and institutional participants.
The delegated representative system will receive 220 million ADA to establish new DReps within “Adoption and Operations” categories. This allocation comes alongside plans to reduce self-delegation to 80 million ADA, limiting the Foundation’s influence on network governance decisions.
Additional funding of up to 2 million ADA will flow to the Venture Hub through 2026, supporting broader ecosystem development initiatives. These measures indicate the Foundation’s strategic pivot toward expanding Cardano’s presence in emerging blockchain sectors.
Charles Hoskinson, Cardano’s founder, expressed approval for the new direction, describing it as a “good start” while advocating for community-elected board establishment. Hoskinson had previously criticized the Foundation’s approach, attributing network development delays to organizational issues.
The founder has been pursuing external partnerships, including ongoing discussions to bring World Liberty Financial’s USD1 stablecoin to Cardano. Hoskinson has also proposed using $100 million in ADA from treasury funds to acquire native stablecoins, furthering DeFi expansion goals on the network.
Source: https://thenewscrypto.com/cardano-foundation-launches-major-initiative-to-drive-ecosystem-adoption/
