The Polkadot community has advanced a proposal to bolster its treasury resilience by establishing a Bitcoin strategic reserve.
The initiative involves converting 500,000 DOT tokens into tBTC, a decentralized and non-custodial representation of Bitcoin secured by the Threshold Network’s threshold ECDSA wallet. An additional 1,000 DOT is allocated to cover associated transaction fees.
To mitigate market volatility risks, the conversion will employ a Dollar-Cost Averaging (DCA) strategy executed over a 12-month period.
Following acquisition, the tBTC tokens are slated to be injected as liquidity into the Hydration Omnipool.
This proposal directly aligns with the objectives outlined in community referendum #1394, known as ‘Wish for Change,’ which advocates for diversifying the assets held within the Polkadot treasury.