Polkadot Update: Treasury and Financial Insights:
1. $DOT Burning: Polkadot is burning approximately $87 million worth of DOT every six months, equivalent to $13 million monthly.
2. Network Revenue: The Treasury generated only $250,000 in network revenue for the first half of 2024.
3. Expenditure vs. Income: Polkadot spent over 11 million DOT (around $143 million) in the first half of 2024, exceeding its income of 2.8 million DOT (around $36 million).
4. Cash Flow: The majority (95%) of the Treasury's funds are held in DOT, with a limited amount in stablecoins, potentially posing liquidity issues.
5. Loan to Bifrost: The Treasury loaned 500,000 DOT to Bifrost, an app offering staking rewards, but the long-term viability of these rewards is uncertain.
6. Income Sources: Polkadot's income comes from network fees, DOT inflation, and other sources.
While there are valid concerns regarding Polkadot's Treasury, it's essential to acknowledge both supporters and critics. Always do your own research (DYOR) and invest responsibly.
