1. Chang Hard Fork and the Voltaire Era
2. Liquid Democracy: Involving ADA Holders
3. The Role of the Interim Constitution and Full Transition by 2025

On August 31, 2024, Cardano, the Layer 1 blockchain founded by Ethereum co-founder Charles Hoskinson, executed the first stage of its Chang hard fork at block 10764778. This upgrade sets the foundation for a fully decentralized governance system.

Chang Hard Fork and the Voltaire Era

The Chang hard fork introduces the Voltaire phase, a critical step in Cardano's roadmap toward decentralized governance. Under this new system, every ADA holder now has the right to submit and vote on governance proposals, giving the community direct control over the blockchain's future. The transition to decentralized governance will occur in two phases. The first phase involves establishing an Interim Constitutional Committee (ICC) with limited authority. This committee will oversee the governance process temporarily, ensuring stability and security during the transition.

Liquid Democracy: Involving ADA Holders

A key feature of the new governance model is the introduction of 'liquid democracy.' This system allows ADA holders to either vote directly on governance issues or delegate their voting power to trusted representatives, known as DReps. This flexibility ensures that all community members can participate in the governance process, regardless of their technical expertise or time availability. Alongside DReps, the Constitutional Committee and Stake Pool Operators (SPOs) will play vital roles in overseeing and implementing governance actions.

The Role of the Interim Constitution and Full Transition by 2025

To guide the network through this transition, Cardano’s off-chain governance organization, Intersect, has released the Interim Cardano Constitution. This document serves as a bridge to the final Constitution, which will be drafted and ratified by the community at the Cardano Constitutional Convention in late 2024. The second stage of the Chang hard fork, set to occur in early 2025, will complete Cardano's transition to decentralized governance. At this point, the community will gain control over the Cardano treasury, marking the final step in Cardano's journey toward becoming a fully decentralized and community-run blockchain network.

These changes signify the culmination of Cardano's efforts to create a fully decentralized governance network, giving the community control over the blockchain's future.