Cardano’s Project Catalyst is changing hands and the pause is forcing builders to face a brutal funding gap

Cardano's community funding mechanism, Project Catalyst, is undergoing a significant stewardship transfer from Input Output Global (IOG) to the Cardano Foundation to align with governance standards as the program scaled. This transition has forced an immediate pause on upcoming funding rounds, specifically Fund15 and Fund16, with their earmarked budgets, including 18.5 million ADA, being returned to the treasury for reassessment. While existing Fund14 grantees will continue to receive disbursements under the milestone process, applicants who prepared proposals for the paused rounds face an indefinite delay and funding uncertainty. The reorganization signals a shift from a product-managed grant lottery to a more formalized, foundation-administered capital allocation system with potentially tighter controls, aiming to address structural governance gaps despite causing short-term disruption to ecosystem builders.

(Source：CryptoSlate)