Introduction
The Cardano ecosystem thrives on community-driven innovation, but the current Catalyst funding model per my observation isn’t enough for a fast evolving ecosystem like cardano: many promising projects are overlooked most of the time. During funding rounds, most projects often succeed not because of their merit but due to vote canvassing by proposers with access to large ADA holders and strong marketing. This leaves other impactful, viable ideas struggling to gain traction. I propose a solution to help complement Catalyst and also to help address this gap and unlock Cardano’s potential for growth.
The Problem
Catalyst’s fixed funding windows limit opportunities for proposers. Projects without strong networks or marketing resources struggle to secure enough votes, even if they have robust prototypes and clear potential. This creates an uneven playing field where well-connected proposers dominate, stifling innovation from smaller teams or individuals.
Proposed Solution: Continuous Funding Stream
To ensure more equitable access to funding, I propose Cardano establish a dedicated Continuous Funding Stream, managed by a transparent, trusted technical committee. Key features include:
- Dedicated Fund: Allocate a fixed amount (e.g., 10 million ADA annually) for this stream, separate from Catalyst.
- Open Submission: Allow proposers to pitch ideas at any time via a standardized application form.
- Expert Review: A committee of technical and ecosystem experts evaluates submissions based on innovation, feasibility, and alignment with Cardano’s goals.
- Milestone-Based Funding: Approved projects receive funds in phases (e.g., 20% upfront, 30% for prototype delivery, 50% upon completion) to ensure accountability.
Process
- Proposers submit a detailed pitch, including a prototype or mockup, via an online portal.
- The committee reviews submissions, scoring them on:
- Innovation: Does the project bring something new to Cardano?
- Technical Viability: Is the prototype feasible with clear deliverables?
- Ecosystem Impact: Will it drive adoption or growth (e.g., new dApps, DeFi solutions)?
- Approved projects receive funding in milestones, with progress reports required at each stage.
- Post-project audits ensure funds are used effectively and deliverables are met.
Benefits
- Fair Access: Levels the playing field for proposers without large networks.
- More dApps: Encourages a broader range of applications, boosting Cardano’s ecosystem.
- Long-Term Growth: Complements Catalyst by supporting projects year-round, accelerating innovation.
- Transparency: Milestone funding and audits build trust in the process.
Conclusion
The Continuous Funding Stream would empower Cardano to nurture high-potential projects that might otherwise be overlooked. By combining community-driven ideation with expert oversight, we can drive meaningful growth in dApps and ecosystem adoption. I’d love to hear the community’s thoughts on this proposal-how can we refine it? What challenges might arise? Let’s discuss how to make Cardano’s funding model more inclusive and impactful.
Call to Action
Please share your feedback, suggestions, or support for this idea if you see it viable. Together lets make Cardano continuously better.
Jeremiah Baani,
Cardano Africa Academy,
Cardano Ambassador, Ghana.
