In the latest development, the Cardano Foundation has launched its first Financial Insights Report 2023 today. The report is an important milestone in its ongoing commitment to uphold the principles of openness, integrity, and community engagement.
Along with the Activity Report published earlier this year, the Financial Insights Report describes how the Foundation directed its funds and the tangible impact it made across its three core focus areas: operational resilience, education, and adoption.
Frederik Gregaard, CEO of the Cardano Foundation, quoted, “This report highlights the importance of accountability, disclosing the allocation of our resources, and how they help advance Cardano as a public digital utility across a wide range of industries.”
The FOCUS Areas
In 2023, the Cardano Foundation allocated $19.22M across the Foundation’s three mutually reinforcing focus areas of operational resilience, education, and adoption. Further, $4.55M was committed to central operational costs as the Cardano Foundation expanded its capacity to support and drive forward key initiatives.
The exchange emphasized that to achieve economic escape velocity for Cardano, on-chain activities must include a balanced mix of legacy and blockchain-native use cases. Scaling the diversity, quality, and quantity of activities on Cardano is core to the Foundation’s mission.
Highlights from the 2023 Transparency Report
According to the Report, as of 31st December 2023, the Cardano Foundation’s assets amounted to $478.24M. The report states that 82.5% of the funds were held in Cardano’s ADA, 10.1% were held in Bitcoin and the rest of the funds were in United States dollars. The funds came from an initial ADA endowment and proceeds from ADA vouchers.
It allocated $19.22 million across its three key focus areas. Additionally, it spent $4.55 million on operational costs to expand its capacity to advance its initiatives.
Notably, $2.12 million was spent on operational resilience, which encompasses all efforts to improve Cardano’s suitability and recognition as an infrastructure component of institutional-grade use cases.
The foundation noted in its highlights that it ran the network without interruption for more than 2,000 days, Tested a decentralized governance mechanism with an SPO and the University of Zurich, Supported the Valentine hard fork that brought improved interoperability, Launched its own block producer, refined stake pool delegation, and implemented continuous network monitoring
Education, which contributes to information on and legal certainty for third-generation blockchains, received $4.18M for its share of expenses. During 2023, the Cardano Foundation continued its work to provide reliable information to support regulatory clarity, contribute to blockchain research, and encourage enterprise adoption, as well as the diversity of the developer community.
It launched the Cardano Academy, Cardano Explorer, and the Let’s Talk webinar and also hosted the Cardano Summit 2023 in Dubai. Adoption, another core focus for the organization received $12.92 million in funding.
