Voting has started for phase two of the IOTA Network Fund Proposal, which seeks to expand the network infrastructure and accelerate the ecosystem growth. The operations of Tangle DAO are expected to be discontinued and temporarily replaced with a new committee made up of one lead and two co-leads. IOTA has officially announced the commencement of voting for the second phase of SGP-0012, also called the IOTA Network Fund Proposal. According to the blog post explaining this initiative, the entire voting process would last seven days and conclude on August 18. However, 100 supportive votes must be accumulated for the proposal to move to phase three. Source: IOTA on X The Background of the IOTA Network Fund Proposal (SGP-0012) In May 2025, IOTA reached a major milestone in its network transformation by successfully deploying the Rebased Protocol and the MoveVM-based mainnet. On paper, this was meant to set IOTA up for a massive upgrade in its scalability, programmability, and decentralization capabilities. As detailed in our earlier blog post, this was also expected to enhance the utility and the competitiveness of the network. However, there are some issues: very important parts of the public infrastructure, as well as public education and marketing, appear to be lagging. Technically, crucial components like bridges, exchange listings, oracles, etc, are reported to be missing. Meanwhile, these are essential for the smooth operation and full support for users, developers, and investors alike. As part of the plans to address the gaps, the IOTA Network Fund Proposal was introduced to accelerate infrastructure development, marketing, exchange and service listing, as well as public education for the IOTA Rebased. This also demands that all Tangle DAO Assets (excluding the $100,000 meant for wind-down costs) should be used for this course. Specifically, this is expected to be deployed within six to eight months after the proposal has been passed. It is worth noting that Tangle DAO is an entity that manages the treasuries of the IOTA and Shimmer networks. As of last month, July 2025, it held about $700,000 in USDT, $200,000 in other crypto assets including ETH, and 42 million IOTA tokens. Fascinatingly, this proposal requests that the “Tangletreasury program” should be discontinued and replaced after all the assets have been deployed for the proposed course. Right after, a committee made up of one lead and two co-leads would be formed to manage the transition. The IOTA ecosystem has entered a new era, but success is not guaranteed. Without decisive investment in infrastructure and outreach, its technological potential risks going unrealized. This proposal offers a clear, time-bound, and impactful way to change that. Previous Initiatives and the IOTA Price Update The SGP-0012 is not this year’s first IOTA proposal. In our previous publication, we detailed the introduction of the IGP-0007 meant to improve on-chain network metrics and raise public awareness. IOTA has also launched its Notarization toolkit to make a dramatic entry into a market predicted to be valued at $440 billion in the next five years, as discussed earlier. Regardless of its recent developments, the price of IOTA continues to struggle. In the last 90 days, the asset has declined by 21% and fallen by 5.9% in the last 24 hours to trade at $0.2. According to our recent analysis, IOTA can only confirm its readiness for a bullish run after breaking above the $0.27-$0.28 resistance range.