The Cardano blockchain achieved a significant milestone as it transitioned to fully decentralized governance with the activation of the Plomin hard fork, the Block reported on Wednsday.
The Cardano Foundation announced the successful enactment of the hard fork, granting ADA holders substantial voting rights on various aspects of the blockchain's future, including parameter changes, treasury withdrawals, and hard forks.
The approval for the Plomin hard fork came last Friday after meeting three critical thresholds during the network's interim governance phase. The criteria included an upgrade by at least 85% of stake pools to a Cardano node version compatible with the new protocol rules, a majority vote from over 51% of stake pool operators (SPOs) in favor of the upgrade, and a confirmation by more than 67% of the Interim Constitutional Committee (ICC) that the hard fork complied with the blockchain's constitution.
The Cardano Foundation had previously confirmed on Thursday that they had voted in favor of the Plomin Hard Fork governance action, deeming it constitutional. The hard fork enables the seven governance actions stipulated in the Cardano Improvement Proposal CIP-1694, which encompasses treasury withdrawals, new constitution proposals, and votes of no confidence, among others.
The Plomin hard fork also introduces a rule that only accounts delegating to a decentralized representative (DRep) can withdraw staking rewards, further cementing the decentralized governance structure. With today's governance action, which was initially submitted on-chain on December 20, the Cardano treasury will now be under the control of ADA holders.
At the time of reporting, Cardano's ADA token was trading at approximately $0.91, having fallen by more than 5% in the last 24 hours, as per data from The Block's Price Page.
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