blake2b-256
We have determined that this treasury withdrawal governance action is constitutional.
The governance action with ID "gov_action10dp9wzmgt2nqshyrghufff4sfhcxedhmzluly5k0azguatnsthwqqs84cjf" and title "Revised Cardano Summit 2026 Singapore" is a Treasury Withdrawal, and is therefore subject to the following sections and guardrails in the Cardano Constitution. ARTICLE II, Section 6 of the Cardano Constitution states that governance actions must follow a standardized and legible format, including a URL hosting an immutable document and a corresponding hash, and must provide sufficient rationale including a title, abstract, justification, and supporting materials. This governance action includes a valid URL and hash, which matches the hash of the off-chain documentation referenced. The rationale also meets the minimum content specified in this section. ARTICLE II, Section 7 specifies that Treasury Withdrawal governance actions must include the following: 1\. Purpose, Delivery Period, Costs, and Refund Conditions This governance action specifies: - The purpose of the withdrawal as "... the coordinated delivery of a flagship Cardano Summit in Singapore to increase Cardano’s presence." - The period for delivery of proposed activities as "The Cardano Summit 2026 will take place from 5-6 October." - The relevant costs and expenses under the heading "Proposal Specifics and Budget Breakdown" - The circumstances under which funds may be refunded to the Cardano Treasury as "Circumstances under which the withdrawal or a portion thereof might be refunded to the Cardano Treasury include: 1) The cancellation of the Cardano Summit 2026 before vendor payments are due, with the balance after payments to be returned to the Treasury, 2) The event is executed successfully but total expenses fall under the requested amount, in which case unspent ada will be returned to the Treasury within 6 months of the events taking place, or 3) Due to ada price appreciation, there is a profit on withdrawn ada, which will be refunded to the Treasury within 6 months of the events taking place." These elements fulfil the requirements of Article II, Section 7(1). 2\. Prior Treasury Funding Disclosure ARTICLE II, Section 7(2) requires disclosure of whether the prospective recipient has received ada from the Cardano Treasury within the last 24 months. This governance action states that "The Cardano Foundation received ada during 2025 treasury withdrawals...". This fulfils the requirement of ARTICLE II, Section 7(2). 3\. Net Change Limit (NCL) ARTICLE II, Section 7(3) requires that Treasury Withdrawals must not exceed the Net Change Limit. The Net Change Limit in effect at the time of submission of this vote on-chain is the governance action with ID "gov_action1m3xx08yv788vfxqh6nfvrjtvmqpwezsy0ggaczctkyjmttc2wmxsq4jsr7q". - A. Current NCL Amount: 350000000 ada - B. Current NCL Time Period: Epoch 613 to Epoch 713 (Inclusive) - C. Total of Treasury Withdrawals within the Current NCL Time Period: 67842000 ada - D. Amount of this Treasury Withdrawal: 7800000 ada - E. "C" plus "D" = 75642000 ada - F. "A" minus "E" = 274358000 ada As the value of "F" is greater than or equal to zero, this governance action fulfils the NCL requirement. 4\. Audit Allocation and Oversight Metrics ARTICLE II, Section 7(4) states "Treasury Withdrawals actions shall require an allocation of ada as a part of such funding request to cover the cost of periodic independent audits and the implementation of oversight metrics as to the use of such ada." This governance action states that "The withdrawal contains a provision for the cost of an audit, included within “Proposal Specifics and Budget Breakdown” above.", which fulfils the requirements of ARTICLE II, Section 7(4). 5\. Designated Administrators ARTICLE II, Section 7(5) requires that one or more administrators are designated to monitor fund usage and ensure deliverables are achieved. This governance action states that "Cardano Foundation will ensure direct administration of the budget, assisted with an on-chain smart contract based on the treasury management contract developed by Sundae Labs (https://github.com/SundaeSwap-finance/treasury-contracts), with oversight from: DQuadrant, Intersect, NMKR, Sundae Labs.", which fulfils this requirement. 6\. Fund Management Requirements ARTICLE II, Section 7(6) states "Any ada received from a Cardano Blockchain treasury withdrawal, so long as such ada is being held by an administrator prior to further disbursement to the Treasury Withdrawal Recipient, must be kept in one or more separate accounts that can be audited by the Cardano Community, and such accounts shall not be delegated to an SPO but must be delegated to the predefined abstain voting option." This governance action specifies the following withdrawal address, which at the time of assessment is not delegated to an SPO and is delegated to the auto abstain voting option: - stake17y0259mwcxx2yqgpt78rdmssa44nkcpxvwvn3r0hx3l0hxgeg9dty Finally, the guardrails that require consideration for this governance action are TREASURY-01a, TREASURY-02a, and TREASURY-03a. These are addressed as follows: - TREASURY-01a - The net change limit with governance action ID "gov_action1m3xx08yv788vfxqh6nfvrjtvmqpwezsy0ggaczctkyjmttc2wmxsq4jsr7q" is currently in effect, after being "agreed by the DReps via an on-chain governance action with a threshold of greater than 50% of the active voting stake". - TREASURY-02a - As per the above assessment, this treasury withdrawal does not exceed the current Net Change Limit. - TREASURY-03a - This treasury withdrawal is denominated in ada. We therefore find this governance action **Constitutional**.
None
This governance action sufficiently fulfils the criteria specified for treasury withdrawals in the Cardano Constitution, so is deemed constitutional.
Eastern Cardano Council