Overview

Cardano will transition to decentralized governance following the completion of the Plomin hard fork scheduled for Wednesday. According to Cardano Foundation, this upgrade will allow ADA holders to influence important decisions regarding parameters, treasury withdrawals, and future directions of the blockchain.

“The Plomin hard fork takes effect, marking the transition to full decentralized governance. ADA holders gain real voting power – on parameter changes, treasury withdrawals, hard forks, and the blockchain’s future,” Cardano Foundation said. “[It’s] A milestone in blockchain governance.”

Currently, the ADA token is trading at approximately 93 cents, up by 1.4%. A hard fork is described as a non-backward compatible change in the blockchain’s programming.

The Plomin hard fork requires support from Stake Pool Operators, who must upgrade their nodes and secure a 51% approval vote. Nearly 80% of nodes had already moved to the new version as of last week.