Polkadot Community Pursues Bitcoin Strategy with Proposal for Strategic Reserve

The Polkadot community is taking steps towards greater cryptocurrency diversification. A new proposal has emerged, proposing the creation of a Bitcoin Strategic Reserve using the network’s Treasury funds. 501,000 DOT tokens will be allocated to purchase tBTC, a decentralized token backed by Bitcoin, through a rolling dollar-cost averaging (DCA) mechanism over a year. This ensures a stable and risk-free entry into Bitcoin markets. Once purchased, tBTC will be deposited into the Hydration Omnipool for liquidity, leveraging Threshold Network’s custody-free bridge to maintain full decentralization and secure asset management. Proponents believe this move offers diversification of Treasury holdings, a hedge against market volatility, and enhances cross-chain liquidity within the Polkadot ecosystem. The proposal is currently under discussion and awaits on-chain voting.