Cardano has released a draft framework for its 2027 ecosystem budget that would give three designated institutions—Intersect, PRAGMA and the Cardano Foundation—formal roles in shaping how funding requests are evaluated. The proposal, outlined in a document published by Intersect on Oct. 28, also allows these stewards to apply for grants within the same spending domains they help oversee, provided their applications are transparently disclosed and receive approval from delegated representatives (DReps). The plan is slated for a trial run in 2027 if it secures the required DRep support.

Stewardship structure and responsibilities

According to CryptoSlate, each steward would develop a strategy for its assigned domain, recommend a dollar‑denominated budget cap in coordination with the other stewards, and define the process for collecting and assessing funding applications. The stewards could submit proposals directly or assist external teams in bringing proposals to an on‑chain vote. Delivery oversight could vary from independent administration by the proposing team to coordinated delivery contracts, depending on the chosen structure.

DRep oversight and conflict‑of‑interest safeguards

DReps would retain final authority over budget distribution, steward mandates and individual treasury withdrawals. The proposal aims to ease the workload of DReps, who currently face a flood of disparate requests, by providing expert guidance and standardized presentation formats. However, the framework leaves key conflict‑of‑interest mechanisms—such as recusal procedures, independent assessment of steward‑related proposals, and appeals processes—unspecified. Existing Intersect committees already require disclosure of potential conflicts and include grievance processes, but these rules apply only to internal committee activities, not the broader steward model.

Open Contributions and the Net Change Limit

A seventh domain, called Open Contributions, would have no designated steward, allowing any applicant to approach DReps directly. The draft does not specify how much of the overall treasury withdrawal limit, known as the Net Change Limit (NCL), would be allocated to this open route, nor does it set a fixed share for it. Community feedback on the Cardano forum has called for clearer disclosure of steward relationships and a guaranteed portion of the NCL for Open Contributions.

What to watch next

The next step is a tentative Nov. 10 on‑chain action seeking DRep approval for the overall concept and for each steward’s domain mandate. Intersect plans a follow‑up round in Dec. 2026 or Jan. 2027 to refine domain plans and finalize the NCL allocation. Observers will be looking for the level of DRep support—targeting at least 51% for the concept and 60% for each domain—and for any amendments that clarify conflict‑of‑interest safeguards and the funding share for Open Contributions.