Future Goguen Update Will Bring Token Locking To Cardano

The future Goguen update for Cardano will likely bring the token locking feature on the blockchain which will prepare the platform for smart contracts and other native assets. however, the most important thing that it will enable is a voting mechanism that will be the focal point of Voltaire’s governance functionality so let’s find out more about it in today’s Cardano news.

The future Goguen update of the protocol for Cardano will bring a small technical change that will change the way the protocol works. IOHK said that the next protocol upgrade will be deployed on the mainnet and will involve token locking. The new development called Allegra will happen alongside the integration of the metadata on the network and will represent a huge step ahead for Goguen. The token locking feature is a small technical change to the consensus protocol overall and will have a strong impact on the platform as it will prepare it for smart contracts and the creation of native assets on the blockchain.

However, the biggest impact token locking will have will be seen in the governance mechanisms as it provides an important piece of Voltaire’s governance functionality that will support an improved voting mechanism. Token locking will happen further from the eyes of the public and will not affect the experience of ADA holders as Daedalus and Yoroi wallets will also be updated automatically. What token locking will bring to Cardano is the opportunity to record that a token issued on the network is being used for a particular purpose. This will be extremely important once more tokens are issued on the blockchain and the locking will also enable a certain number of tokens to be reserved for a set period of time.

The first time token locking will be issued in the Voltaire mechanism with the Project Catalyst fund2Voting. All users that hold ADA and will want to participate in the voting process will have to “lock” some of their funds and to participate in the voting system. The locked tokens will represent the users’ voting rights and will prove that they can vote. This means that users will not be able to allocate more votes than they hold or to duplicate their votes as well.

 

ADA holders will not be able to tell the update happened since all nods running the network will have to approve the change. IOHK noted that all notes will have to reach a consensus on the updated version of the Ouroboros’ that is set to be introduced by downloading the latest version of the code and checking the operations. The company said:

 “IOHK’s development teams will support stake pool operators and monitor the network throughout this process to ensure that the transition goes smoothly.”