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The Cardano Foundation Has Published An Activity Report

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If you are interested in what the Cardano Foundation (CF) did for Cardano in 2023, you can find the answers in the activity report. This one of the three founding entities of the Cardano project has published a report on its activities. The range of activities is wide. This includes monitoring the network and collecting data for the Parameter Committee, helping SPOs and exchanges with the operation of nodes, preparing for on-chain governance, organizing the Cardano Summit, education, supporting builders, debating with regulators, supporting adoption by businesses, and much more. This work is not often visible but is extremely important to the project.

Activity Report

I recommend you to read the Activity Report.

The range of activities of CF is wide and this article does not intend to rewrite the content of the report. We just want to think about some activities and comment on them.

If you read the report, you will be surprised how much activity is going on behind the scenes of the Cardano project. These are activities that are not directly related to the implementation of the Cardano client. The IOG team is responsible for this. CF takes care of many other things that are not perceived by the community at first glance.

Any blockchain project has a competitive advantage if it has an organization like CF. Although a blockchain project is built from the bottom up, it is always necessary to have some organization or group of people who can speak on behalf of the project. In theory, the IOG team could do it. However, it needs to focus on research and development.

If official entities need to communicate with someone who understands Cardano, CF is the ideal point of contact. Conversely, the CF is an entity that can discuss on behalf of Cardano with regulators, business people, or representatives of states.

CF actively helps to use Cardano technology for specific business cases. The CF team engages with policymakers. They met with the EBA, ESMA, FCA, and FINMA, achieving coverage in jurisdictions spanning more than one-third of the global population of smartphone users.

Although it may not be perceived as such, CF covers the Cardano community to some extent. This is because CF received 648,176,761 ADA coins (1.4% of max supply) in the initial distribution. In addition, CF received more than 8,000 BTC. It is necessary to use these resources effectively for the growth of Cardano.

CF has enough funds to finance various activities, including the organization of the Cardano Summit, developing tools, launching educational portals, supporting Cardano ambassadors, etc.

One example of a new tool is the new Cardano Explorer, which is designed for businesses. The aim of the project was the accuracy of on-chan data.

Network Monitoring

CF monitors the Cardano network and collects important data. This can help SPOs, but also exchanges with node configuration. For example, two exchanges had an issue with block distribution. CF was able to detect the issue and helped solve it. Thus they contributed to a healthier network.

The average community member doesn't have the necessary tools to monitor the network and likely doesn't have the time to analyze various problems. I am glad that a group of professionals is dedicated to network monitoring.

In the past, I have seen several blockchain projects where no one did this activity. As a result, these blockchains are still running, but nobody uses them much. Exchanges are not interested in listing tokens minted on these blockchains. The infrastructure was so bad that it was impossible to reliably submit transactions with a single wallet in the ecosystem.

It can be a difficult task for exchanges to list tokens because they do not know what tools to use or how to do it efficiently for a given blockchain. CF helps the adoption of DeFi projects and NFTs by supporting exchanges and possibly other entities.

Network monitoring data is important to the Parameter Committee, which contributes to the debate on whether to change important protocol parameters such as the minimum fixed reward for SPOs or the K parameter that defines the optimal number of pools.

CF organized a ballot in which it was possible to vote on changing these key parameters. Based on the voting results and network monitoring, the minimum fixed reward has been reduced from 340 ADA to 170 ADA.

Note that the change was made based on hard data and stakeholder wishes. It was necessary to be sure that the change would not hurt decentralization. Let's add that the parameter K has not changed.

Developers

Developers are important to any ecosystem. CF conducted a survey called State of the Cardano Developer Ecosystem to find out how developers are doing. Among other things, it was confirmed that the alternative programming language Aiken for writing scripts (smart contracts) on Cardano is growing in popularity.

In every situation CF observed, Aiken led to lower execution costs, sometimes saving up to 90%. It has lowered the barrier to entry so significantly that some of the largest projects on Cardano have switched to Aiken (around 40%).

It didn’t take long before the CF decided to support the project and accelerate its development.

CF took care of the Developer Portal and launched the Cardano Academy. The academy was accessed by more than 1,500 participants spanning more than 30 nationalities and 15 different industries.

CF decided to build a multi-platform wallet called Identity Wallet, which will support decentralized identity (DID). The wallet makes it possible to maintain digital and physical identities in an off-chain infrastructure that links to the blockchain.

Cardano Summit 2023

The Cardano Summit is an event that many participants will surely remember for a lifetime. Organizing such an event takes time and money.

Cardano Summit 2023 held in Dubai had 10K attendees globally, 1K participated in the Hackathon and the event has 500K views.

We see similar events in every major ecosystem. It can be said that today it is an integral part of every community.

Bitcoin and Ethereum have large conferences with thousands of visitors. Meeting members of the community in person is ideal for establishing new contacts and strengthening old ones. It is a breeding ground for new ideas and new partnerships can be formed.

These events confirm the position of projects on the market year after year. It is a certain form of marketing that is visible. CF deserves credit for the organization.

Governance

CF co-authored CIP-1694. The proposal outlined a model consisting of SPOs, delegated representatives (DReps), and a Constitutional Committee (CC), each with distinct responsibilities.

The CF supported the development of decentralized management and provided extensive feedback on the proposal. They also held CIP-1694 workshops.

A large number of CIP-1694 workshops were held around the world and were open to anyone.

CIP-1694 is a widely discussed topic in the community. It was important to incorporate feedback into the proposal. CIP-1694 was merged into the main branch of the CIP repository on GitHub in June 2023, marking its transition to the Proposed status.

Conclusion

Cardano is undoubtedly a successful project. Success is a mix of technology and community. Several entities in the Cardano ecosystem contribute to this success. CF does extremely important work for Cardano in many areas. The adoption of blockchain technologies is a slow and laborious process. In some cases, the result of CF's work can be seen immediately, in other cases it may take several years.

In conclusion, I have one topic to ponder. Cardano needs multiple Cardano client implementations. CF could consider whether to accept this challenge or support teams that are already working on it or will try it.

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