According to Mars Finance news, Polkadot community members have proposed to establish a strategic Bitcoin reserve for the treasury, planning to utilize 501,000 DOT, of which 500,000 will be gradually converted to decentralized non-custodial BTC asset tBTC, and 1,000 will be used for transaction fees. The proposal aims to enhance the long-term stability and risk resistance of the treasury through asset diversification. The specific execution method is to use the Rolling DCA mechanism of the Hydration protocol to sell small amounts of DOT daily and convert them to tBTC over the course of a year, while also generating additional income for the treasury through lending functions. The transaction frequency will be once every 20 blocks, with a total annual trading volume of 500,000 DOT, injecting liquidity into the pool after accumulating 0.25 tBTC. Although the proposal is considered a reasonable allocation of funds, accounting for about 2.8% of the total new minting in the treasury over the next year, some community members have expressed doubts about its timing and effectiveness. The proposal is still in the forum discussion stage and has not yet been formally implemented.

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