Cardano founder Charles Hoskinson has recently updated the community on the project’s decentralization progress, stating that ADA is “substantially more decentralized” than any other cryptocurrency in the market. Hoskinson believes that Cardano’s decentralization will act as a “wake-up” call for the industry. He stressed that the Cardano Improvement Proposal (CIP-1694) will prove to be a game-changer in the decentralization debate. The proposal will enable Cardano users to submit a governance action that will be ratified by three groups, ensuring that the community has a final say in the functioning of the Cardano ecosystem. CIP-1594 is still up for discussion and is likely to be released in July this year.
Hoskinson also believes that Cardano inching closer to more decentralization could potentially help the project become part of crypto regulatory frameworks. Decentralization metrics might become a crucial part of regulatory standards, and regulatory agencies may eventually end up treating a crypto project with more decentralization as a protocol or a commodity.
Separately, the Cardano network suffered a brief outage due to a “transient anomaly” in January this year that was fixed within minutes. More recently, Input Output Global (IOG) launched a valentine upgrade for its Standards for Efficient Cryptography (SECP) primitives to allow developers to use a broader range of native multi-signature designs to develop secure and cost-effective DApps.
In conclusion, Cardano’s progress towards decentralization is a significant development in the industry, and it remains to be seen how regulatory agencies will treat crypto projects with more decentralization. The Cardano Improvement Proposal and the recent upgrade for SECP primitives are positive steps towards the project’s goal of becoming a leading blockchain platform.