In a significant move for the Cardano community, a new proposal has been submitted to establish a Net Change Limit (NCL) as part of the Cardano Constitution. This initiative aims to regulate treasury withdrawals and ensure financial stability within the ecosystem. According to the results published in the material, the implementation of such measures could greatly enhance the governance of the network.
Proposed Net Change Limit
The proposed Net Change Limit sets a cap of 350 trillion lovelace, equivalent to 350 million ADA, on the amount that can be withdrawn from the treasury over a defined timeframe. This measure is designed to prevent excessive depletion of treasury resources and promote sustainable financial practices within the Cardano network.
Enhancing Transparency and Accountability
By implementing the NCL, the Cardano governance framework seeks to enhance transparency and accountability in treasury management. The proposal reflects the community's commitment to maintaining a balanced approach to resource allocation, ensuring that funds are utilized effectively for the growth and development of the ecosystem.
The Cardano Foundation recently achieved a significant milestone in its global adoption strategy with the successful Cardano Summit 2025, which showcased the growing interest in the ecosystem. This event contrasts with the recent proposal for a Net Change Limit aimed at enhancing financial stability within the community. For more details, read more.
