Cardano Governance Vote Goes Live for DRep and ADA holders

A Cardano governance vote is live with ADA holders and DReps debating a 275 million ADA budget.
Community calls for a more transparent voting structure and warns against centralization and rushed decision-making.

A major governance vote is now live on the Cardano blockchain. As revealed, ADA holders and delegated representatives (DReps) are now invited to vote on a proposed 275 million ADA budget. The vote, which will close on June 14, 2025, has become a hot topic across the Cardano community, drawing both support and opposition.

Community Split as Cardano Governance Vote Progresses

The Cardano blockchain has entered a crucial decision-making phase. A recent post on X showed that the community has been asked to weigh in on a large budget that could shape the protocol’s roadmap for the rest of the year.

The proposal, worth around $225 million, was announced by the Cardano Foundation on June 6, 2025, and is being managed by Intersect. It includes funding for core development, zero-knowledge technology, and several community-led initiatives.

Voting officially opened on May 31, and over 41 billion ADA have been staked. However, opinions remain divided. According to figures released by the SyncAI Network, 60.52% of voters have selected No. While 48.8% of DReps are in favor, only 37.8% of stake pool operators support the current proposal.

Cardano Voting — Image Source: Cardano Foundation

Much of the concern comes from the size of the proposed budget. Critics, including Mesh DRep, say the 275 million ADA request is too high, especially since 200 million ADA was already allocated to another project, NCL, earlier in the year.

They argue that approving such a large figure in the same year could lead to overspending and affect ADA’s market value.

There are also concerns about Intersect’s ability to manage the funds responsibly. Critics have pointed to past issues with how funding was handled. They are also worried that giving too much control to a single body may lead to centralization, which Cardano has always tried to avoid.

In the middle of this ongoing voting governance conversation, the ecosystem continues to advance. As reported in our earlier post, Franklin Templeton has strengthened its engagement with Cardano. This shows a growing interest from traditional finance in blockchain technology.

Meanwhile, as highlighted in our previous news brief, Cardano founder Charles Hoskinson shared a proposal to balance user privacy with regulatory compliance. This will be done by limiting public visibility while providing access to authorized entities under legal directives.

Calls for Transparency and Better Voting Structure Grow

In addition to budget concerns, many in the Cardano blockchain community ask for more clarity in the voting process. The proposal includes 39 sub-sections. However, voters can only approve or reject the package as a whole. Some believe this method limits thoughtful decision-making.

Mesh DRep and other community voices have asked for a more detailed breakdown and even suggested taking smaller steps, learning from previous initiatives like Project Catalyst. Supporters of the proposal say it offers a clear timeline and strong goals, but the mixed reactions suggest that more discussions are needed.

The Cardano Foundation encourages all ADA holders to vote before the June 14 deadline, noting that every voice plays a role in shaping the network’s direction.

Beyond the voting call, as highlighted by CNF, Cardano Foundation is formalizing a research-based alliance with the Pontifical Catholic University of Rio de Janeiro (PUC-Rio). This is one of the leading academic institutions in Latin America.

Recommended for you:

This article is provided for informational purposes only and is not intended as investment advice. The content does not constitute a recommendation to buy, sell, or hold any securities or financial instruments. Readers should conduct their own research and consult with financial advisors before making investment decisions. The information presented may not be current and could become outdated.