When many people first hear about Kava's zero inflation, they often ask: If there is no inflation, how can the ecosystem continue to expand?
The answer lies in the strategic treasury. This fund pool is governed by the DAO community, with high transparency, and the flow of all funds is publicly traceable.
Through the strategic treasury, funds are no longer 'indiscriminately thrown around,' but are precisely invested in ecosystem development.
For example, developer incentives, user rewards, and infrastructure support can all be flexibly allocated based on the community's consensus.
This approach avoids wasteful ineffective subsidies and ensures that every investment has a clear target.
For the ecosystem, the efficiency brought by the strategic treasury is higher; for investors, the scarcity of tokens is maintained and will not be devalued by unlimited issuance.
In the long run, this model provides Kava with a more robust growth path.
