The Polkadot ecosystem faces a pivotal governance decision as community members debate converting half a million DOT tokens into Bitcoin through a year-long accumulation strategy.

Strategic Reserve Proposal Sparks Debate

Initiated by community member "hippiestank" in early June, the plan suggests selling 500,000 DOT (worth approximately $2.1 million at current prices) to acquire Threshold Bitcoin (tBTC). The proposal advocates using dollar-cost averaging to mitigate market volatility, with the treasury's BTC holdings serving as a hedge against DOT's price fluctuations.

——"This isn't about market timing but risk management,"—— the proposal emphasizes, noting Polkadot's native token has underperformed while Bitcoin maintains record highs above $100,000.

Threshold Technology Solution

The plan specifically recommends tBTC, a decentralized Bitcoin wrapper utilizing threshold-Elliptic Curve Digital Signature Algorithm (ECDSA) technology. This approach aligns with Polkadot's commitment to non-custodial solutions while providing treasury diversification.

【Key Data】Current DOT price sits 82% below its 2021 peak, while BTC achieved new all-time highs in Q2 2025.

Community Polarization Emerges

Forum discussions reveal sharp divisions. Proponents argue Bitcoin's stability could protect treasury assets during market downturns. "Diversification strengthens our financial position regardless of short-term price movements," one supporter commented.

Skeptics counter that liquidating DOT at depressed prices creates unnecessary sell pressure. A prominent critic questioned: "How does selling our native asset at lows to buy BTC at highs constitute sound treasury management?"

Governance Process Advances

The debate follows Polkadot's recent approval of a Visa-compatible payment card, demonstrating the community's willingness to innovate. For the Bitcoin reserve proposal to advance, it must clear several governance hurdles:

• Initial community sentiment check

As discussions continue, the outcome could set precedent for how blockchain projects manage treasury assets amid crypto market cycles. The final decision rests with DOT token holders through Polkadot's decentralized governance system.