Hitchhiker's Guide to Cardano
This page is in active construction and welcome to feedback for any inaccuracies.
Last updated
This page is in active construction and welcome to feedback for any inaccuracies.
Last updated
NOTE: Nothing in this page denotes financial or legal advice. Transitioning from Web2 to Web3: a beginner’s guide (Cardano focus)
Moving from the world of Web2 into Web3 can feel daunting, but it’s an exciting journey toward a more decentralized internet. This guide will break down the key concepts of Web2 vs Web3, introduce you to Cardano (a leading blockchain platform), and walk you through both technical and non-technical pathways in Cardano’s ecosystem. We’ll also cover Cardano’s governance (the Voltaire era) and how you can participate through community organizations like Intersect. The tone is simple and beginner-friendly, so let’s dive in!
Web2 refers to the internet as we commonly use it today – interactive and user-friendly, but largely controlled by centralized companies. Web3, on the other hand, is the next-generation web powered by blockchain and decentralization.
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In Web2, platforms (like social media or e-commerce sites) have central authority over data and content, whereas Web3 aims to give that control back to users through distributed networks and cryptography. Some major differences between Web2 and Web3 are outlined below:
Governance and control: In Web2, big tech companies and governments hold most of the power over platforms and user data. By contrast, Web3 uses community-led governance (eg via DAOs – Decentralized Autonomous Organizations), allowing stakeholders to collectively make decisions. Anyone can participate in Web3 networks without needing permission from a central authority.
Data ownership: Web2 users often ‘pay’ for services by giving up control of their personal data, which companies aggregate and monetize. Web3 promises that users will own their data and digital assets – information can be shared on a need-only basis, and blockchain self-custody means you hold your assets without relying on a third party.
Censorship resistance: In Web2, platforms or governments can censor or remove content and accounts at will. Web3’s decentralized architecture makes censorship much harder – no single entity can block information for the whole network (although individual communities or DApps might still have moderation rules).
Security: Traditional Web2 systems concentrate data on central servers, which can be targets for hacks or failures. Web3 builds security through blockchain’s cryptography and consensus mechanisms (like proof-of-stake), removing single points of failure and making the system more transparent and tamper-resistant.
Payments & Transactions: Web2 primarily uses traditional finance infrastructure (banks, credit cards, PayPal, etc) for online payments. In Web3, value transfer is native to the internet: cryptocurrencies and tokens enable peer-to-peer payments without the need for banking intermediaries. Smart contracts (self-executing code on blockchain) can automate transactions and agreements.
Why it matters for you: In practical terms, transitioning to Web3 means you’ll start using crypto wallets instead of just login passwords, and you’ll interact with decentralized applications (DApps) where you hold the keys to your assets. There’s a learning curve – Web3 can be more complex to use at first – but it also offers greater personal control and new opportunities (such as owning digital collectibles, participating in decentralized finance, and having a vote in online communities). Next, let’s look at Cardano, one of the platforms making Web3 accessible.
Cardano is a public blockchain platform and cryptocurrency (ada) that exemplifies Web3 principles. It was founded by Charles Hoskinson (a co-founder of Ethereum) and is often called a “third-generation” blockchain, aiming to improve on the scalability and sustainability issues of earlier chains. Unlike some blockchains that evolved organically, Cardano is built on peer-reviewed academic research and high assurance development methods. Here’s a beginner-friendly overview of Cardano and how it stacks up against other major blockchains:
Design and philosophy: Cardano was designed from the ground up to use a proof-of-stake consensus mechanism (called Ouroboros), rather than proof-of-work mining. From day one it focused on being energy-efficient and scalable. Its architecture has two layers: a settlement layer for handling ada transactions, and a computation layer for running smart contracts and DApps. This layered approach improves security and flexibility – for example, upgrades to smart contract capabilities can be made without affecting the core transaction layer. Cardano’s development is research-driven; new features undergo academic review and formal verification where possible, which means Cardano may evolve more slowly but with an eye toward safety and rigor.
Comparison to Ethereum: Ethereum (launched in 2015) introduced smart contracts to the world and has a huge ecosystem of DApps (DeFi, NFTs, etc.). It started with proof-of-work and only recently transitioned to proof-of-stake. By contrast, Cardano started with PoS and tries to avoid some pitfalls Ethereum encountered, like high fees and network congestion. For example, Ethereum’s success led to periods of very high ‘gas’ fees, whereas Cardano’s design keeps fees relatively low and predictable. Ethereum uses an account model for transactions and smart contracts, while Cardano uses an EUTXO model (extended unspent transaction output model) similar to Bitcoin’s UTXO but extended for smart contracts. The EUTXO model can offer more predictable transaction outcomes and easier parallelization, though it requires a different approach to writing DApps. In short, Ethereum has a first-mover advantage and a larger community of developers currently, but Cardano offers a potentially more scalable and secure framework long-term. Many view them as complementary networks in the Web3 space rather than direct either-or competitors.
Comparison to other blockchains: Besides Ethereum, Cardano is often compared with platforms like Polkadot, Solana, or Tezos. Solana, for instance, prioritizes high throughput (many thousands of transactions per second) but sacrifices some decentralization (having fewer, more powerful nodes) and has faced downtime. Cardano takes a more careful approach: scaling via off-chain and layer 2 solutions (like Hydra head protocol for faster transactions on top of Cardano) while keeping decentralization (over 3,000 stake pools secure the network). Polkadot focuses on interoperability (connecting multiple blockchains), whereas Cardano is primarily focused on evolving one main chain with sidechains in development for specific purposes. Tezos, like Cardano, emphasizes formal governance and upgrades via on-chain voting, but Cardano’s governance is now evolving in its own way (more on that in the Voltaire section). As a beginner, the key takeaway is that Cardano is a well-established platform known for its strong community and methodical development, making it a good blockchain to start with as you transition into Web3.
Real-world Usage: Cardano’s ada cryptocurrency is used for fees, staking, and governance on the network. Beyond that, Cardano supports a growing number of DApps and projects – from decentralized exchanges and lending platforms in DeFi, to NFT marketplaces, to social and identity solutions. While its ecosystem is not as large as Ethereum’s yet, it’s expanding steadily. Cardano places a focus on inclusive and mission-oriented projects (for example, partnering with governments or NGOs for uses like supply chain tracking or education credentials in developing countries). This means as a Web3 newcomer, by engaging with Cardano you’re joining a community that often emphasizes social impact and long-term thinking in blockchain adoption.
If you are a developer (or aspiring developer) looking to build decentralized applications (DApps) on Cardano, there are two primary smart contract pathways to know about: Plutus and Marlowe. Cardano’s smart contract capabilities were fully introduced in 2021 (with the Alonzo upgrade), and since then these tools have enabled Web3 development on the platform.
Plutus – Cardano’s Smart Contract Platform: Plutus is the main smart contract language and platform for Cardano. It’s based on Haskell, a functional programming language. With Plutus, you write the logic that will run on-chain (often called validator scripts) as well as any off-chain code needed to interact with the blockchain, all using Haskell libraries. The benefit of this approach is that Haskell’s precision and strong typing can lead to very secure and reliable contracts – Cardano’s goal is to avoid the kind of smart contract bugs and exploits that have affected some other chains. In fact, Plutus allows developers to create applications in a predictable, deterministic environment with a high level of assurance.
For beginners, the downside is that Haskell and Plutus have a steep learning curve if you’re not already familiar with functional programming. However, there are resources like the Plutus Pioneer Program (free courses) and an active community to help new developers. Typically, to build a DApp you would: write the on-chain Plutus script (the conditions under which funds can be spent, for example), write the off-chain code to handle user interactions/transactions (this could be in Haskell or another language interfacing via Cardano’s APIs), test everything in a local or testnet environment, and then deploy the scripts to the Cardano blockchain by submitting a transaction that contains your Plutus script. Tools like the Plutus application backend (PAB) have been developed to aid in this process, though they are evolving. The Cardano developer portal provides tutorials – for example, how to forge new tokens, create multi-signature scripts, etc, all using Plutus. As a newcomer, you might start by experimenting with the Plutus online playground or studying open-source Plutus contracts from real projects on Cardano’s GitHub.
Marlowe – Financial Contracts Made Easy: Marlowe is a domain-specific language (DSL) for Cardano, designed to simplify the creation of smart contracts, especially for financial use cases. Unlike Plutus (which is Turing-complete and general-purpose), Marlowe is not a general programming language – it’s more like a template or “building blocks” system for common financial agreements (escrow, loans, swaps, etc.). The Marlowe language is designed to be secure and predictable: contracts written in Marlowe are guaranteed to terminate and have built-in safeguards (no infinite loops, no assets locked forever). This makes Marlowe contracts easier to analyze and ensures funds won’t get stuck unexpectedly.
One of the best parts for beginners is the Marlowe Playground, a web-based tool where you can build and simulate smart contracts visually without writing code. It even has a “drag-and-drop” interface (using Blockly) for constructing contract logic. For example, you could set up a contract where Alice will pay Bob 10 ada if a certain date is reached, and otherwise the money is returned – all by configuring it in the playground’s UI. You can simulate different scenarios to see how the contract would behave, then export it to run on Cardano when you’re confident. Marlowe contracts, once ready, can be deployed on the Cardano blockchain via the Marlowe tools (like the Marlowe CLI or directly through an interface if provided). While Marlowe is somewhat limited to specific kinds of applications (mostly financial agreements), it dramatically lowers the barrier to entry for non-developers or those new to coding. It’s a great way to learn the fundamentals of smart contracts and maybe even solve a problem you have in mind using a pre-built template.
Building and Deploying DApps: Whether you choose Plutus or Marlowe (or even a third-party tool – there are emerging alternative languages like Aiken for Rust developers, or Helios for a JavaScript-like approach), the general DApp development flow on Cardano involves: writing your contract, testing it thoroughly (in a simulated environment and on a testnet), and then deploying it to the main Cardano network by including your compiled contract in a transaction. Cardano’s EUTXO model means you’ll structure transactions a bit differently than on Ethereum, but it offers a more straightforward analysis of what your contract will do for a given input (because the state and outcomes are more explicit). As a beginner, you can start by interacting with existing Cardano DApps to see how they work (for instance, try a Cardano NFT marketplace or a DEX on testnet) and then gradually move to writing your own simple contracts. There are also community developer hubs, Discord channels, and forums where you can ask questions as you build. The learning curve might be steep, but once you deploy your first Cardano smart contract, you’ll have taken a big step into Web3 development!
Not everyone in Web3 needs to be a developer. As a user, you’ll interact with the Cardano blockchain through various tools and applications. Here’s a guide to the basics you’ll need to know: setting up a wallet, exploring NFTs, understanding decentralized autonomous organizations (DAOs) on Cardano, and participating in staking to earn rewards. These are all ways to use Cardano in everyday Web3 life without writing code
A wallet is your personal gateway to Cardano. It’s a software (or hardware device) that holds your private keys and allows you to send/receive ada and other tokens, interact with DApps, and vote or stake. Cardano wallets come in a few flavors:
Full-Node Wallets: Daedalus is the official full-node wallet. It downloads the entire blockchain, turning your computer into a node in the network. This offers maximum security and decentralization (you verify everything yourself), but it requires more disk space and patience (syncing can take hours). Daedalus is great for long-term holders and those who want to participate in voting or running a stake pool.
Light Wallets: These are more convenient for everyday use. Examples include Lace, Yoroi, Eternl, Typhon, Nami, and others. Light wallets don’t require downloading the whole blockchain; instead, they rely on public nodes to fetch data, making them quick to set up (often just a browser extension or mobile app). In fact, many popular Cardano wallets are browser extensions, which makes them very beginner-friendly. For instance, Typhon (mentioned in NFT context), Lace, and Nami are Chrome extension wallets that let you manage funds and connect to Cardano DApps with one or two clicks.
Hardware Wallets: Devices like Ledger or Trezor can securely store your ada offline. You can link a hardware wallet to a Cardano software wallet to get the security of hardware with the usability of a software interface.
Setting up a wallet: Whichever wallet you choose, the setup typically involves writing down a recovery phrase (a series of 12-24 words). This seed phrase is the master key to your wallet – if you lose it, you lose access; if someone else gets it, they have full control of your funds, so keep it safe and never share it. Wallet setup is straightforward: download the official app or extension from the source, follow the prompts to create a new wallet (or restore an existing one with your seed phrase), and set a spend password. Once set up, you’ll have an ada address that you can use to receive funds. Beginners should perhaps start with a light wallet like Lace, Yoroi or Eternl due to ease of use (Daedalus can come later if you want to delve deeper). Using the wallet: With your Cardano wallet, you can now:
Send/Receive ada: This is as simple as copying an address and ensuring you have enough ada to cover the small transaction fee (usually only a fraction of 1 ada).
Manage Tokens/NFTs: Cardano supports native tokens, meaning your wallet can hold other tokens (including NFTs) alongside ada. Many Cardano wallets have a tab or section for viewing your NFTs (e.g., collectible art, game items) right within the wallet.
Connect to DApps: Some wallets, including Lace, Nami, and Eternl, allow web DApp integration. For example, if you go to a Cardano DEX or an NFT marketplace, it will prompt you to connect your wallet. Once connected (you approve in the wallet), the DApp can read your public addresses and request transactions for you to sign (like “swap 10 ada for 20 XYZ tokens” – you’d confirm the transaction via your wallet). This is similar to how MetaMask works for Ethereum DApps.
Always double-check you are using official wallet websites and be mindful of phishing. With great power (holding your own crypto) comes great responsibility in Web3!
Non-Fungible Tokens (NFTs) are unique digital assets on the blockchain – like digital collectibles, artworks, or items in a game. Cardano has a vibrant NFT community (sometimes called ‘CNFTs’ for Cardano NFTs). For a beginner from Web2, think of NFTs as digital trading cards or art that you can truly own, buy, sell, and prove authentic through the blockchain. How Cardano NFTs work: On Cardano, thanks to the native assets feature, NFTs don’t even require a smart contract to exist. An NFT is essentially a token on Cardano with a policy that fixes its supply to one (or a specific number) and often includes metadata (like the name, a link to the artwork, properties, etc). Cardano’s efficient design means transaction fees for minting or transferring NFTs are very low – often just a few cents. This is a big advantage over, say, Ethereum, where you might pay tens or hundreds of dollars in gas fees (sometimes more than the NFT’s price itself!) to trade an NFT. Cardano is also energy-efficient (using PoS), so you can collect NFTs with a cleaner conscience regarding environmental impact. Getting started with NFTs: First, use a wallet that supports viewing NFTs (Lace, Yoroi, Eternl, Typhon, Nami, etc all do). You can acquire NFTs by:
Buying on a Marketplace: The largest Cardano NFT marketplace is JPG Store. There are others like CNFT.io, Tokhun, and so on. Marketplaces let you connect your wallet, browse collections, and purchase NFTs using ada. When you buy, the NFT token is transferred into your wallet’s address.
Minting from Projects: New NFT projects often have a launch (“mint”) where users can send a certain amount of ada to a provided address and receive a newly minted NFT in return. Always do due diligence to ensure the project is legit. The process usually involves your wallet and is often as simple as sending ada to a smart contract or address and getting the NFT back automatically.
Creating Your Own NFT: If you’re an artist or just curious, you can mint your own NFT on Cardano. There are user-friendly tools like NMKR (No Maker) that provide a web interface to upload art, set metadata, and mint tokens for a fee. There are also open-source scripts and the Cardano command-line interface for those inclined. As a beginner, using a platform like NMKR or a step-by-step guide is advisable.
Viewing and using NFTs: Once you have an NFT in your wallet, you can see it in the wallet’s interface (some wallets show a thumbnail image, others just the token name until you click on it). You can send the NFT to someone else by sending that token to their address (just like sending ada, but you include the token). NFTs often come with communities – owning one might give you access to a holder’s chat group or future benefits in a project (like a game item or a governance token airdrop). Cardano’s NFT scene is known for its enthusiastic community – from collectible profile-picture projects to one-of-a-kind art pieces, to music NFTs and beyond. If you want to explore, Twitter (X) and Discord are places where many Cardano NFT communities hang out. Just remember: like any collectibles, value can be speculative. Collect because you like the art or the community, and treat it as a learning experience in using Web3 tech.
Decentralized Autonomous Organizations (DAOs) are online communities or organizations that use blockchain for their governance – rules encoded in smart contracts and decisions made by token holders voting. On Cardano, the concept of DAOs is emerging in a few forms:
Protocol/Project DAOs: Some Cardano-based projects (like certain DeFi protocols or community initiatives) have their own tokens and governance processes, functioning similar to DAOs on Ethereum. These allow token holders to vote on proposals (for upgrades, fund allocation, etc.). As a beginner, you might encounter these if you dive into specific DApps.
Cardano’s governance DAO (Catalyst): Project Catalyst is one of the world’s largest decentralized innovation funds – it’s essentially Cardano’s community treasury system, which has DAO-like characteristics. Catalyst is a platform where ada holders can propose projects for funding and vote on those proposals to decide how treasury funds are spent. It’s an experiment in on-chain/off-chain governance that has been running since 2020. Through Catalyst funding rounds (called Funds), hundreds of projects have been funded (over 1,200 proposals funded with around $64 million of ada by Fund9), covering everything from DApp development, community tools, education, and more.
How to participate in Catalyst: Even as a beginner, you can get involved:
As a voter: If you hold ada, you can register to vote in Catalyst (typically by a certain snapshot date in each fund). This involves using a Catalyst voting app and generating a QR code + PIN from your wallet (Yoroi, Eternl, etc have Catalyst registration built-in when a fund is open). Once registered, you vote on proposals through the Catalyst mobile app during the voting phase. Your voting power is proportional to your ada holdings (so it’s a liquid democracy of sorts). It’s a great way to have a say in Cardano’s direction – for example, which DApps or community ideas get funding.
As a proposer: If you have an idea to improve Cardano or build on Cardano, you can submit a proposal to Catalyst. You’ll detail your plan and budget on the Catalyst platform (usually Ideascale, an online idea management site). The community will see it, discuss, and it will be reviewed and eventually voted on. If it gets approved, you receive funding from the treasury to execute your project.
As a community reviewer or mentor: Catalyst also has roles for community members to provide feedback on proposals, help refine ideas, and even ensure accountability (for example, funded projects report back and are reviewed). These roles can sometimes earn you rewards (Catalyst sets aside some funds to reward those who do reviews or mentor proposers).
Catalyst is an excellent entry point to Cardano’s culture of decentralized governance. It shows Web3 in action – a large group of strangers around the world collectively deciding how to invest millions in the ecosystem’s growth. It’s currently somewhat off-chain (voting happens via a side system), but it’s migrating towards on-chain voting as Cardano’s governance matures (see the Voltaire section below). Aside from Catalyst, participating in Cardano’s community can involve joining online forums and chats (like the official Cardano Forum, various Discord servers, Telegram groups, Reddit, etc.), contributing ideas and feedback to Cardano Improvement Proposals (CIPs) on GitHub, and even starting local meetup groups. In Web3, your voice and vote matter more than in Web2, because these blockchain networks are ultimately run by their communities.
One of the most user-friendly features of Cardano (and proof-of-stake blockchains in general) is staking. Staking allows you to earn passive rewards (kind of like interest or dividends) by helping to secure the network. The best part on Cardano is that staking does not lock your funds – you can unstake or spend your ada at any time, and you always remain in control of your coins (they never leave your wallet when delegated). This makes staking a low-risk way to participate. Here’s how it works in Cardano:
The Cardano network is maintained by stake pools – these are server nodes run by operators that produce blocks and validate transactions. Anyone with ada can delegate their stake to a pool. This means you point your ada holdings to a specific pool, which increases that pool’s chances of being chosen to create new blocks (sort of like more lottery tickets for that pool in each epoch’s leader election).
When the pool you delegated to successfully produces blocks, it gets rewarded in ada, and those rewards are shared among all the delegators to that pool (after the operator takes a small fee).
How to stake as a beginner: Using your Cardano wallet (Daedalus, Lace, etc.), go to the staking or delegation center. You’ll see a list of stake pools (often with ticker names like [POOL] or [XYZ]). Many wallets provide metrics to help choose – for example, pool size, performance, fee, and uptime. You simply pick a pool and click “delegate” or “stake”. You will pay a small registration fee (approximately 2 ada, a one-time thing) and a transaction fee. After that, your ada is staked. Earnings: Rewards are paid out every epoch (5 days on Cardano) after an initial wait period (it takes about 15-20 days from first delegating to see the first reward, due to how the cycles work).
Currently, staking yields roughly 3–5% APY (annual percentage yield) on your ada, depending on network parameters and the pool’s performance. In many cases, users see around ~5% in Daedalus and Yoroi as a typical return. This can fluctuate slightly over time and may trend down as more people stake (since total rewards are fixed per epoch), but it’s still a healthy return compared to traditional savings – and remember, you can still use your ada. If you spend or move your ada, you simply earn less because you have less delegated. If you add more ada to your wallet, it automatically gets delegated to the same pool and starts earning.
Choosing a good pool: Look for a pool with a low fee (most charge ~1-5% of rewards as their fee) and that isn’t oversaturated (if a pool has more stake than a certain threshold, rewards per person drop). Decentralization-wise, it’s good to support smaller independent pools rather than all piling into the biggest ones. Some pools also have missions (charity pools donating to causes, etc.) which you might consider if that appeals to you. You can switch pools any time if you’re not satisfied (no penalty except a re-delegation takes effect after the next epoch).
Running a stake pool: This is more advanced, but if you’re technically inclined, you could run your own Cardano stake pool as a form of career/monetization. It requires some system administration skills and reliable server uptime. Successful pools often engage with the community to attract delegators. As an operator, you can earn the set fees and a portion of rewards. Many in Cardano started by just staking, then got interested and became pool operators over time. In summary, staking is highly recommended for all ada holders – it’s safe (you’re not giving up your coins), helps the network stay decentralized, and you earn rewards. From a Web2 perspective, think of it like earning interest, but instead of a bank paying you, it’s the blockchain protocol rewarding you for contributing to consensus.
One of the best aspects of transitioning to Web3 is the community you become a part of. Cardano’s community is known to be welcoming to newbies and very global. Here are some tips on how to plug yourself in:
Discord and Telegram: A lot of Cardano projects and interest groups have Discord servers or Telegram channels. These are like the chat rooms of Web3. For example, Input Output Global (one of the companies that develop Cardano) has an IOG Technical Discord where developers and community members discuss everything from node setups to smart contract help. Project Catalyst has its own Discord where proposal discussions happen. You can find Discord links on project websites or the Cardano forum. Telegram is also popular for quick chats (but watch out for scammers; never share your wallet seed in any chat!). If you’re not familiar with Discord, it’s worth learning as it’s heavily used in the crypto space for community coordination.
Cardano Forum (forum.cardano.org): This is an official forum moderated by the Cardano Foundation. It’s a bit more formal and long-form than Discord. You’ll find announcements, improvement proposal discussions, and community technical help threads. It’s a good place to ask newbie questions too – there’s a “New to Cardano” section where no question is too basic.
Project Catalyst Ideascale and town halls: If you’re interested in governance and funding, Project Catalyst (mentioned earlier) holds regular town hall meetings (often via Zoom/YouTube) where updates are given and community members showcase projects. Joining these (even just to watch) can give you insight into what’s happening in the ecosystem. The Catalyst idea submission site (Ideascale) is also a place to read proposals and comment on them.
Social media (Twitter/X, YouTube): Crypto Twitter is very active for Cardano. Following hashtags like #Cardano or prominent community members can keep you informed. There are also many Cardano-focused YouTube channels that provide updates, how-tos, and interviews. As a beginner, you might find channels or series specifically aimed at education (for example, “Cardano for Beginners” type playlists). Just be cautious: always cross-verify information you get from social media, as anyone can post anything. Stick to known community educators initially.
Meetups and events: Cardano has had global summits and local meetups. Check if there’s a Cardano meetup group in your city – it’s a great way to meet like-minded people and learn together. If not, maybe you can start one! Events like the annual Cardano Summit (usually held in various worldwide locations simultaneously) are also accessible to community members.
Community etiquette: When joining these platforms, keep in mind general Web3 security: admins or mods will never ask for your seed phrase or private keys. If someone DMs you claiming to be support and asks for sensitive info, it’s a scam. That aside, don’t be afraid to ask questions. The Cardano community prides itself on being patient and explaining things – after all, everyone was new at some point. Contribute where you can: if you learn something, pay it forward by helping the next newcomer.
By engaging with the community, you’ll not only learn faster, but you might also discover opportunities – perhaps someone looking for a collaborator on a project, or an open job in the ecosystem, or just make new friends who are also navigating the Web2 to Web3 journey.
Now we come to Cardano’s Voltaire era – a phase focused on decentralizing governance and decision-making. In Cardano’s roadmap, each era is named after a historical figure. Voltaire (named after the philosopher) is all about governance and on-chain voting. For a beginner, this means Cardano is implementing the tools that let ada holders themselves vote and steer the future of the network, without needing to rely solely on the founding organizations. What has changed now that Voltaire was enacted? In the previous system (before Voltaire), major protocol updates or treasury spending require signatures/approvals from Cardano’s founding entities (IOG, Cardano Foundation, Emurgo). Cardano has had “governance keys” controlled by these entities to implement changes. Through Voltaire, this power has transitioned to the community. Concretely, CIP-1694 is the Cardano Improvement Proposal that defines the on-chain governance mechanism for Voltaire. It was named “1694” after the birth year of Voltaire and was developed with a lot of community input. CIP-1694 has now been implemented (through network upgrades in late 2023 and early 2024), establishing the foundation for decentralized governance on Cardano. Under the new governance system:
ada holders can propose and vote on changes: Any ada holder can register a governance action on-chain (like proposing a protocol parameter change or a spending from the treasury). These proposals then go through a voting period on-chain.
One lovelace, one vote: Voting power is generally proportional to your stake (the amount of ada you hold or represent), reflecting a “one coin, one vote” principle for most decisions. This aligns with how staking influence works, but now applied to governance.
New governance bodies: Importantly, CIP-1694 introduces three main groups of participants in governance votes:
The Constitutional Committee (CC): A small group of individuals initially appointed and then replaced by election, whose role is to oversee and veto if something is against the rules of the Cardano constitution. They vote as individuals (1 person, 1 vote) on certain high-level actions.
Delegated representatives (DReps): Not every ada holder will want to vote on every proposal, so they can delegate their voting power to a DRep. DReps are like elected representatives or proxy voters. Each ada holder can either vote directly or choose a DRep to vote on their behalf on governance matters. DReps are expected to be community members who signal their candidacy and perhaps outline their stance or expertise. This way, active participants concentrate voting power to make informed decisions, while everyone still ultimately controls their delegation. (If you don’t like how your DRep votes, you can always reclaim your voting power or assign it to someone else or vote directly.)
Stake pool operators (SPOs): Uniquely, Cardano’s block-producing nodes (the stake pools) also get a say in governance. Since SPOs are critical for running the network, CIP-1694 gives them voting rights ( weighted by the stake they control, but separate from their delegators’ DRep votes). This is to ensure those who maintain the network’s infrastructure have a voice and to align incentives between good network operation and governance decisions.
In the Voltaire era, these three groups (the Constitutional Committee, DReps, and SPOs) collectively replace the old model of only the founding entities having say. It’s a big shift – Cardano is becoming self-governing by its userbase.
The Cardano constitution: Along with CIP-1694, there is a Cardano constitution – a document that outlines the guiding principles of Cardano and certain hard rules (for example, protecting against arbitrary changes). The constitution was ratified on-chain by ada holders. It can be amended by a special governance action. It provides a shared reference for what the community wants Cardano to be, making sure changes align with core principles.
Governance actions and voting: CIP-1694 defines several types of governance actions (things like protocol parameter changes, treasury withdrawals, no-confidence motions to replace the committee, etc)
Each action type has different thresholds of yes-votes needed from the combination of DReps, SPOs, and the Committee. For most actions, at least two of the three groups must vote yes with certain quorum and majority thresholds
For example, a typical parameter change might need (hypothetically) >50% yes by stake (from DReps+direct ada voters) and >50% yes of SPOs. A constitution update might additionally require the committee’s majority yes. A no-confidence vote could replace the committee if the community feels they’re not acting in interest of Cardano. All this happens on-chain: when you vote (or your DRep votes), those votes are recorded in the blockchain’s governance state. If a proposal meets the thresholds by the end of the voting period, it’s considered ratified (approved). Then, it can be enacted – meaning the change (if it’s a protocol parameter or such) is applied in the next epoch or at a specified time.
For a beginner, the intricacies of voting thresholds isn’t crucial, but understanding the philosophy is: Cardano is handing over control to its community. Decentralization isn’t just running nodes, it’s also about decision-making. Voltaire is enabling Cardano to be a self-sustaining network where the stakeholders decide on software updates, how treasury funds are spent, and even structural changes in governance. How you can get involved in Voltaire governance: If you hold ada, you are a stakeholder – which means you can be part of this governance. Initially, the easiest way is to register as a voter or DRep.
Even if you delegate to a DRep, you’ll want to choose one who represents your views (some might be more focused on technical improvements, others on growth, others on risk aversion, etc). Keep an eye on Cardano news for news about DRep registration and how to delegate. Additionally, you can even consider becoming a DRep if you’re willing to take on the responsibility – basically signaling that you’ll actively participate in governance and encouraging others to delegate their vote to you. This could be a meaningful role (and there may be incentive mechanisms to reward active DReps). Voltaire’s on-chain governance is a cutting-edge experiment in Web3. Only a few other blockchains (like Tezos, Polkadot, Cosmos) have on-chain governance where coin-holders directly vote on changes, and Cardano’s approach is unique with its multi-body structure. By engaging with it, you truly move from Web2’s passive usage of platforms to Web3’s active ownership and governance of the platforms you use.
In addition to on-chain governance (Voltaire), Cardano’s ecosystem is fostering off-chain community governance and collaboration structures. The most prominent of these is Intersect, a newly formed member-based organization for Cardano. Let’s break down what Intersect is and how its Open Source Committee (OSC) works – in beginner terms – and how you can participate if interested.
What is Intersect? Intersect is a member-based organization (MBO) created to ensure Cardano’s continuity and future development, with the community in the driver’s seat. Think of it as a kind of Cardano citizens’ association or cooperative. The idea is that as Cardano becomes more decentralized (with Voltaire), there still needs to be coordination, especially for developing and maintaining the core Cardano software (which was previously done mainly by IOG).
Intersect provides a framework for this by bringing together individuals and entities who are committed to Cardano’s success. Members of Intersect have the opportunity to join various committees and working groups that focus on different aspects of the ecosystem (technology, governance, growth, etc.), effectively steering the project’s direction collectively.
The Open Source Committee (OSC): Among Intersect’s various committees, the Open Source Committee is a crucial one. This committee’s focus is on Cardano’s open-source development. In plain terms, the OSC brings together a group of experienced people from the Cardano community to guide, support, and oversee the open-source projects and dev teams working on Cardano
They act as a decision-making body that ensures Cardano’s core development (now community-driven) stays on track and aligns with the ecosystem’s needs. Key points about the OSC from its charter:
It includes relevant stakeholders – for example, representatives from different Cardano developer teams, independent engineers, community leaders, etc., who have knowledge to share. By having these folks in one committee, decisions can benefit from a range of perspectives
The OSC works closely with an Open Source Office (OSO), which is like an operational arm that manages the day-to-day of Cardano’s open-source projects (managing code repositories, coordinating contributors, handling security processes, etc.)
The OSC provides guidance to the OSO and can direct its actions.
The OSC’s purpose is to keep Cardano’s development community-led and decentralized. In their mission statement, they emphasize fostering Cardano as a community-driven project and ensuring no single entity dominates the development process
This aligns with the broader Web3 ethos: many contributors, transparent processes, and collective decision-making.
The committee can also serve as a conflict resolution body – for instance, if two development teams disagree on an approach, the OSC might mediate and decide the best path
They also consult on the validity of technical decisions (like whether a certain technical proposal fits Cardano’s open source standards and vision)
In simpler terms, if you imagine Cardano’s development as a big open-source project (like Linux, for example), the Open Source Committee is akin to a steering committee that helps coordinate that project and keep it moving in the right direction. Membership and Roles in the OSC: The Open Source Committee is made up of several roles, each with specific responsibilities:
Chair: The Chair leads the committee. They set meeting agendas and guide discussions towards the committee’s objectives. The Chair often serves as the liaison between the committee and the wider Intersect organization (like reporting to the Intersect Steering Committee or Board). In the current OSC, for example, the Chair is Pedro Lucas, who as Chair ensures the committee stays focused and effective.
Vice Chair: The Vice Chair supports the Chair and can step in if the Chair is unavailable. Essentially a second-in-command, helping to drive the committee’s work forward and possibly handling tasks delegated by the Chair.
Secretary: The Secretary is responsible for administrative duties – this includes organizing meetings, taking minutes (notes of what was discussed and decided), and handling communications or publications for the committee. In a community setting, publishing meeting minutes is crucial for transparency, so everyone can see what the committee is doing.
Committee Members (Seats): Apart from these specific officer roles, the OSC has a number of general committee members (sometimes just called “seats”). These members contribute their expertise, take on tasks or research as needed, and of course vote on committee decisions. They are the core of the committee’s deliberation process. In the current composition, members come from various backgrounds (some from Cardano-focused companies, some independent, etc., as we saw names like developers from GimbaLabs, Intertree, Bitergia, IOG, etc. on the list). This diversity helps the OSC cover lots of ground.
External Member Base / Community: Interestingly, the OSC charter explicitly states that the committee is open to the public – meaning their meetings are generally not behind closed doors, and community observers can attend. While only the committee members can vote, community members can watch proceedings and even ask questions or comment during meetings if relevant. This is a great example of Web3 openness: even the “steering committee” wants to stay connected to the broader community and hear their input.
All these roles are elected positions within Intersect. How does that work? Intersect held its first committee elections in 2024. Members of Intersect could apply to be candidates for different committees, and then the Intersect membership voted to choose who fills each role or seat. Each committee member often serves a term (for example, some OSC members have terms ending April 2025, others October 2025, as listed). This staggered term rotation means not everyone is replaced at once, ensuring continuity. If you become a member of Intersect, you could run in future elections for a committee seat if you have expertise and willingness – it’s a way to directly contribute to Cardano’s direction. Operating procedures: The OSC, like any committee, has regular meetings (often bi-weekly or monthly). They follow rules of order to ensure meetings are productive. Decisions within the committee (for example, endorsing a development roadmap or adopting a policy) typically require a vote among committee members. The OSC’s charter indicates that a simple majority with a quorum of two-thirds present is needed for a vote to be binding. This is internal, but it shows they have a structured way to decide things. The committee also produces reports – eg, monthly reports on the maturity of projects, which are made public, to track progress and hold themselves accountable. How to participate or follow the OSC: Even if you are not (yet) an Intersect member or on the committee, you can still engage:
Attend meetings as an observer: OSC meetings are generally open to the public. This might be via a Zoom or YouTube stream. Observing gives you insight into what’s happening in Cardano development. Occasionally, the Chair may allow community questions or comments if time permits.
Reach out with ideas or concerns: The OSC provides contact emails – you can email the Open Source Office (oso@intersectmbo.org) or the committee (open-source-committee@intersectmbo.org) with any input. For example, if you have identified a technical issue or have a suggestion about Cardano’s open-source process, you can voice it.
Follow their updates: The committee often posts updates on social media (e.g., an X (Twitter) account @IntersectOSO, or on YouTube). They might share summaries of meetings, calls for feedback, etc.
Join Intersect or a Working Group: If you want to go a step further, consider joining Intersect as a member. Even if you’re not on the main committee, Intersect has various working groups (for specific topics like Developer Experience, Governance tools, etc.) which are usually open to volunteers. For instance, the OSC has subgroups like a Developer Experience Working Group. By joining a working group, you can contribute directly (like helping write documentation, organizing hackathons, drafting improvement proposals). Working groups are a bit less formal and are a great way for newcomers to start contributing alongside more experienced folks.
In summary, Intersect’s Open Source Committee is where a lot of off-chain governance for Cardano’s development happens, complementing the on-chain governance introduced by Voltaire. It’s essentially the community organizing itself to maintain and improve Cardano’s technology in a decentralized way. As a beginner, you don’t have to dive into these committees immediately, but it’s good to know they exist. As you grow in experience and confidence, you might find that you want to have a bigger voice in Cardano’s direction – and Intersect is a path to do that. Beginner-friendly takeaway: Cardano isn’t run by any single company or CEO. It’s increasingly run by people like you – users, developers, enthusiasts – through formal processes (voting, committees) that you can be a part of. Today you might just be learning, but tomorrow you could be helping decide Cardano’s next feature or leading a community project. Web3 empowers its users to also be its owners and operators, and Cardano is a prime example of that ethos in action.
Beyond using and governing Cardano, you might be wondering: What opportunities are there for me in this ecosystem? The good news is that Web3 in general, and Cardano in particular, offer a variety of ways to monetize your skills or involvement, and even build a career. Here are some paths you can consider:
DApp Developer or Blockchain Engineer: If you have (or acquire) programming skills, Cardano needs developers to build the next wave of DApps. This could mean writing Plutus smart contracts, developing off-chain infrastructure, or even working on Cardano’s core code (which is primarily Haskell). Developers are in high demand. You could join an existing project/startup (many Cardano projects have funding and are hiring), or start your own project (leveraging funding sources like Catalyst). Mastering Cardano’s tech (EUTXO model, Plutus, etc.) might take time, but it can set you up for a well-paid career as blockchain devs are quite sought after.
Project Catalyst Funding & Entrepreneurship: If you have an innovative idea for the Cardano ecosystem, you can form a team and submit proposals to Project Catalyst. As mentioned, Catalyst has funded thousands of ideas, from apps to community hubs. If your proposal is approved by the community, you receive ada funding to execute it – essentially a grant. This is a way to kickstart a crypto project without needing venture capital. Many current Cardano startups began as Catalyst projects. If you’re entrepreneurial, think about problems you could solve or apps you could build on Cardano, and pursue that path. It’s not easy money (you must deliver on your project and show results), but it’s an unparalleled opportunity in Web3 to get community backing.
Stake Pool Operation: Running a Cardano stake pool can be both a way to earn ada and a stepping stone into the ecosystem. However, note that operating a pool is competitive – there are over 3,000 pools, and not all are profitable if they don’t attract enough delegation. To succeed, you’d need to reliably maintain the node (server costs, uptime, etc.) and ideally differentiate your pool (unique branding, community mission, or superior reliability). Rewards for operators come from the share of staking rewards. If you manage to get delegations, you could earn a small percentage of millions of ada worth of delegation rewards each epoch. Some people start a pool not for immediate profit but to support decentralization, and gradually grow it. It can be technical (requires command-line, cloud server management), but there are guides and an active operator community to help. If you like system administration, this could be a niche for you.
Content Creation, Education, and Advocacy: Cardano has an official Ambassador Program run by the Cardano Foundation, where community members who contribute through content, translations, moderation, etc., are recognized (and sometimes rewarded with small stipends or invitations to events). Whether or not you become an official ambassador, creating content (blogs, YouTube videos, tutorials) about Cardano can establish you as a known community member. Some have turned this into careers – e.g., running a popular Cardano podcast or news channel can be monetized via sponsorships or by later moving into formal roles in marketing/community teams of Cardano projects. Education is highly valued; for instance, if you can explain Cardano concepts in plain language, you fill a need and could get noticed by organizations looking for educators or evangelists.
Community Management and Moderation: Every project and community needs people to manage chats, plan events, and engage users. If you have people skills, you could volunteer as a moderator on Cardano forums/Discords or help organize local meetups. This experience often leads to paid roles in projects as a Community Manager or Social Media Manager. It might start as volunteering out of passion, but skilled community builders quickly find themselves in demand as projects grow.
Open-Source contributions (and bounties): Cardano’s code (and many related tools) are open-source. Contributing code or documentation can not only improve your skills but sometimes be directly rewarded. For example, Intersect’s Open Source Committee and Office are exploring paid open-source models to incentivize contributors. This could mean bounties for fixing issues, completing certain features, or auditing code. Keep an eye on announcements for any bounty programs. Even outside formal bounties, being an active open-source contributor raises your profile; organizations might hire you once they see your talent via GitHub.
Joining established organizations: There are a few main organizations in Cardano – IOG (development company), Cardano Foundation (nonprofit for adoption and community), Emurgo (venture arm) – and now Intersect as well. All of these employ people in various roles: developers, business developers, lawyers, marketers, etc. As the ecosystem grows, so do the companies/startups within it (from DeFi platforms to NFT marketplaces to consultancies). Checking their career pages or LinkedIn for openings can be fruitful. A blockchain background or involvement in the community can give you an edge when applying.
Research and academia: Cardano has a very strong academic bent. If you are in academia or interested in research, there are opportunities to work on formal research related to Cardano (cryptography, consensus algorithms, formal verification). IOG, for instance, partners with universities and has research fellows. Pursuing a career in blockchain research can be rewarding and you could influence the future protocol upgrades. It often requires advanced study (Masters/PhD), but the door is open for those inclined.
Combination of Roles: In Web3, many wear multiple hats. You might run a stake pool and be a developer, or create content and have a Catalyst project, etc. Feel free to explore several areas and see what sticks. The community appreciates initiative. Just be transparent about your roles to avoid conflicts of interest (e.g., if you review Catalyst proposals and also have one, disclose that, etc.).
A note on monetization ethos: Cardano’s community generally values mission-driven work. Monetization is not frowned upon (everyone needs to earn a living), but there’s an understanding that building useful things will ultimately be rewarded – either directly or through the ecosystem’s growth. So, focus on how you can add value: solve a problem, educate others, improve infrastructure, connect people. If you do that, the monetization tends to follow naturally, whether through grants, job offers, or community support. Finally, networking is key. Use the community channels not just to learn but to showcase your own ideas and skills. If you build a small tool or write an analysis, share it on the forum or Discord. Opportunities often come by being visible in the community. Given Cardano’s global and 24/7 nature, anyone from anywhere can rise to a prominent position by contributing. There are Cardano community members who started as solo enthusiasts and are now leading major initiatives or companies – you could be next!
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