The Cardano Foundation plans to invest 50 million ADA to establish a liquidity fund! Betting on RWA, stablecoins, and the Decentralized Finance ecosystem.

On September 24, 2025, the Cardano Foundation proposed to allocate 50 million ADA (approximately 40.5 million USD) from the treasury to establish a liquidity fund to enhance the adoption of stablecoins and DeFi activities, with an expected annual return of 4%, and 15% of the profits to be reinvested into the treasury. This move is part of Cardano's eighth anniversary roadmap, which also includes an investment of 2 million ADA in 2026 to support Venture Hub, a pilot for RWA tokenization (which has already initiated 10 million USD in assets), and governance expansion (delegating 220 million ADA to 11 new DReps). The marketing budget will increase by 12% in 2026, focusing on global events and content promotion. This roadmap aims to address liquidity bottlenecks and drive Cardano's transition from technological innovation to a sustainable ecosystem, with expectations for significant rebounds in TVL and volume.

###Liquidity Fund Proposal: 50 Million ADA to Support Stablecoins and Decentralized Finance

The Cardano Foundation has proposed a key initiative to allocate 50 million ADA (approximately 40.5 million USD) from its treasury to establish a liquidity fund, focusing on expanding the supply of stablecoins and participation in Decentralized Finance (DeFi). The Foundation emphasizes that deep liquidity is one of the most pressing needs of the Cardano ecosystem, and this fund will enhance the efficiency of DEX and lending markets by injecting fiat-backed native stablecoins, reducing slippage, and attracting more volume.

The deployment is expected to bring about 4% annualized returns to the treasury, based on the historical correlation between volume and TVL. The yield distribution mechanism is cleverly designed: 15% is converted to ADA every month to flow back to the treasury, while 85% is retained within the protocol for compound growth, ensuring sustainability. The foundation stated that this proposal not only serves the development of the Cardano blockchain but will also inject additional vitality into the ecosystem, such as improving deposit and withdrawal channels.

The community feedback on platform X is positive, @CardanoDaily posted: "The injection of 50 million ADA in liquidity may revitalize DeFi, with TVL breaking through the range of 350 million to 600 million USD." Compared to Solana's 12 billion USD TVL, this move is modest in scale, but targeting Cardano's current pain points, it is expected to significantly enhance the network's appeal.

###New Chapter of the Roadmap: Venture Hub and RWA Tokenization Acceleration

The liquidity fund is just the tip of the iceberg for Cardano's eighth anniversary roadmap. The foundation plans to expand the Web3 adoption team, focusing on exchange integration, tokenization of assets, and enterprise applications. By 2026, 2 million ADA ($1.62 million) will be invested in the Venture Hub to support startups, in collaboration with Draper University, Techstars, and CV Labs, providing direct investments, loans, technical consulting, and networking guidance. The foundation's goal is to "kickstart the sustainability of Cardano projects" through these initiatives, covering integration support and business solutions.

RWA tokenization is another highlight, having piloted 10 million USD in real-world assets with Members Cap. In the future, issuance standards will be established and integrated through the Masumi Network with the Cloudflare x402 payment framework. This move aligns with the global RWA trend and is expected to attract institutional funds, driving Cardano's expansion from payments to capital markets. Charles Hoskinson stated on X that this roadmap marks "Cardano's entry into the practical stage."

###Marketing and Governance Upgrade: Budget increased by 12% to expand DReps

The regulatory changes and intensified competition over the past year have highlighted the importance of visibility. The Cardano Foundation plans to increase its marketing budget by 12% in 2026 for content marketing, paid media, and global events. Key focuses include industry summits such as TOKEN2049 and Consensus, as well as community-led events like the Africa Tech Summit 2026 and the London Digital Asset 2026 conference, showcasing blockchain capabilities.

In terms of governance, the foundation will delegate 220 million ADA to 11 new Adoption and Operations DReps, while self-delegating down to 80 million ADA. This move further decentralizes power following the previous delegation of 140 million ADA to 7 Builder DReps. The goal is to expand the number of active governance participants and enhance the democratization of network decision-making. In discussions on X, @ADAWhale pointed out: "The expansion of DReps will accelerate the implementation of community proposals, such as the Stablecoin Decentralized Finance Liquidity Budget." These initiatives are expected to enhance Cardano's global influence, attracting more developers and users.

###Market Impact: Liquidity Injection or Revitalizing Cardano DeFi

This roadmap precisely addresses the current challenges of Cardano: TVL hovering around $350 million to $600 million, far lower than Solana's $12 billion. The $50 million ADA fund, while not huge, is targeted and can reduce DeFi slippage, enhance volume, and provide returns to the treasury through a 4% reward mechanism. Some community members suggest piloting with 5 to 10 million ADA to test KPIs, such as reduced slippage and revenue generation. The RWA pilot and Venture Hub aim at institutional-level applications, with expectations of TVL doubling by 2026.

Overall, this proposal marks Cardano's transition from technical research and development to ecological sustainability. Charles Hoskinson previously suggested using 100 million ADA to purchase stablecoins and Bitcoin, further confirming the urgency of the liquidity strategy. If everything goes smoothly, Cardano may welcome a DeFi revival in Q4 2025.

###Conclusion

The Cardano Foundation's 50 million ADA liquidity fund proposal, combined with Venture Hub investments, RWA standards, and governance expansion, outlines a comprehensive upgrade blueprint for the ecosystem. The marketing budget will increase by 12%, enhancing global influence. This roadmap addresses liquidity pain points, with an expected annualized return of 4% injecting sustainable momentum, driving TVL and adoption rates to soar. In Q4 2025, Cardano may leverage this to revitalize DeFi vitality, and investors need to pay attention to community voting and execution progress to seize ecosystem dividends.

Disclaimer: This article is for informational purposes only and does not constitute any investment advice. The cryptocurrency market is highly volatile, and investors should make decisions with caution.