IOHK | WHY WE ARE BUILDING CARDANO | 06/28/2017    development needs to retire to a more systematic and deliberate pace. Following this point, funding needs to avoid cultural, linguistic and geographic bias. Second, as the community becomes more informed about the underlying nature of the cryptocurrency’s technology, decisions about the roadmap cannot be centralized to a set of core developers or foundation. There needs to be a blockchain based method for proposing, vetting, and enacting changes to the protocol. Third, the incentives behind maintaining the Cardano SL blockchain have to be directly aligned with the aggregate desires of all users. We cannot permit a cabal of specialized actors to emerge who are independent of the will of the greater community. For the first principle, we have chosen to integrate a treasury system into Cardano. For the second, we will deploy a formal process to propose Cardano Improvement Proposals through a system coordinated by CSL itself. For the third, we believe Ouroboros provides an elegant solution. More detail could be provided on the above topics, but they are extensive in their own right and beyond the scope of a survey paper. Mechanism design is one of the most intricate and interdependent academic fields with incomplete theory and no solid canonical model to stand on. Rather our science driven approach described in section two serves us well here. IOHK’s Veritas team is working in partnership with a group of researchers from Lancaster University under the direction of Professor Bingsheng Zhang to develop Cardano’s reference treasury model. With the aim of integration in 2018, we expect a dedicated peer reviewed publication by the end of 2017. For formal description and vetting of changes to a cryptocurrency protocol, this topic is the least understood as it requires both ontological notions as well as a mechanism to incentivize broad participation. Perhaps some form of representative democratic process could emerge or use of liquid feedback to provide more rational voting. We expect research in this direction to consume most of IOHK’s formal involvement in the development of Cardano . As a starting point, we will deploy alongside the reference treasury 33 model several mechanisms to capture consent. Further study is required for a definitive solution. 33 IOHK is retained to build Cardano until the end of 2020 WHY WE ARE BUILDING CARDANO  Creative Commons Attribution 4.0 International License Page 42 of 44