Polkadot’s 41-year-old founder, Gavin Wood, has revealed plans to invest $774 million (approximately Rs. 5,800 crores) in the open-source crypto network’s development. Wood intends to use the idle native tokens of Polkadot (DOT) — which have seen some recent increase — to support the development. Polkadot is now selling at $1,009 (approximately Rs. 3,246) on October 20, according to the Gadgets 360 crypto price tracker. Wood stated in a tweet that the Polkadot treasury currently has 18,936,300 DOT tokens sitting dormant.
These tokens might have been “burned” or removed from circulation, but Wood intends to keep them in circulation in order to expand the Polkadot architecture. The creator has also hinted that the network’s improvements will be based on suggestions from Polkadot investors and fans.
“The DOT in the Treasury is a built-in feature of the network protocol.” Fees, slashes, and staking setups that aren’t optimum are all contributing reasons. “It progressively burns if it remains unused,” Wood stated on his Twitter thread.
Polkadot, according to the creator, burns 239,988 DOT tokens every month, totaling over $10 million (roughly Rs. 75 crores).
The public’s response to Wood’s tweet seems to back up his notion of leveraging unused DOT tokens to expand the network.
Wood’s announcement comes only weeks before the start of Polkadot’s inaugural para chain slot auctions on November 11.
According to a report from news portal Medium, this auction will allow numerous blockchain projects to interact with the Polkadot cryptocurrency’s governance, security, and decentralized processes.