Cardano’s governance community is on the verge of approving a $50 million liquidity injection aimed at strengthening the network’s growing stablecoin ecosystem, according to the latest on-chain proposal data.
The measure, known as the Stablecoin DeFi Liquidity Budget, seeks to boost liquidity pools supporting Cardano-based stablecoins and expand their integration across decentralized finance (DeFi) protocols.
As of Tuesday evening, the proposal had received strong backing from major delegated representatives (DReps) and stake pool operators (SPOs), with over 63% of voting stake in favor, nearing the 66.7% approval threshold required for passage.
If approved, the budget would allocate funds toward liquidity provisioning, incentives for decentralized exchanges, and infrastructure partnerships to improve stablecoin peg stability and transaction efficiency.
The initiative has drawn significant attention across the Cardano ecosystem, as stablecoins are increasingly seen as a cornerstone of DeFi activity and institutional adoption. Advocates argue that deeper liquidity will make Cardano more competitive against rival ecosystems like Ethereum and Solana, both of which have seen rapid growth in stablecoin volumes this year.
Voting is scheduled to close on October 16, 2025, with results expected to be finalized shortly thereafter. If passed, implementation could begin as early as November, marking a key milestone in Cardano’s roadmap to expand its on-chain financial infrastructure.