Cardano’s governance process just hit a major milestone as over 40 proposals have cleared the initial approval stage, bringing the ecosystem one step closer to allocating over 275 million ADA from its 2025 treasury. Here’s a breakdown of what happened, what it means, and what’s coming next.

40 Proposals Pass Initial Approval

The proposals in question were part of a recent temperature check, a community-led process where Delegated Representatives (DReps) vote on whether they support specific funding requests. To move forward, proposals needed to receive support from more than 50% of the DReps’ voting power, and 40 managed to hit that benchmark.

Together, these proposals now account for about 80% of the available treasury funds for next year, meaning most of Cardano’s 2025 treasury could soon be spoken for—pending formal approval.

The proposals span a wide range of initiatives, including infrastructure, development tools, education, governance tooling, and community-building efforts. They are now bundled together into a single “Budget Info Action” (BIA), prepared by Intersect, the member-based organization that coordinates governance and development within the Cardano ecosystem.

Phase 1: Submission of the Budget Info Action (Now–May 14)

Intersect plans to submit the full Budget Info Action during Epoch 557, which runs through May 14. This action includes all approved proposals and lays out a comprehensive budget plan for 2025.

The BIA doesn’t just list proposals—it forms the official request for treasury withdrawal and provides the documentation needed to move into the governance vote.

Phase 2: Governance Voting (Epochs 557–562)

Once submitted, the BIA enters a formal on-chain governance vote. DReps will once again vote, this time to approve or reject the budget as a whole. In parallel, the Interim Constitutional Committee (ICC) will review the budget to ensure it aligns with Cardano’s constitutional principles.

For the BIA to pass:

  • It must receive more than 50% of DReps’ voting power.

  • It must be confirmed as constitutional by the ICC.

Phase 3: Final Decision Expected by June 8

By the end of Epoch 562, which falls around June 8, the Cardano community will have a clear answer: either the treasury budget gets approved, or it’s rejected and possibly revised.

If approved, Cardano enters a new phase of decentralized funding at scale.

Phase 4: Access to Treasury Funds

Once greenlit, project teams can begin requesting the funds they were allocated. However, these requests must clearly reference the approved BIA. If a proposal deviates from its original intent or lacks proper documentation, the request could be deemed unconstitutional—a check-and-balance designed to enforce transparency and accountability.

Why This Update Matters

This marks one of Cardano’s most significant governance milestones yet. The ability for community-selected representatives to influence how treasury funds are spent is a powerful indicator that Cardano’s on-chain governance system is evolving into a robust, democratic process.

As nearly 80% of the 2025 budget has already been carefully allocated, the ecosystem is now setting the stage for major initiatives in development, tooling, and infrastructure—all driven by the community itself.

The post Cardano Treasury Budget Enters Next Phase as 40 Proposals Advance appeared first on Coinfomania.