Polkadot’s Founder To Fund Parachain Auctions Lease With $777 Million Dollars
In a Twitter post on Oct 17, 2021, Mr. Gavin Wood, founder of Polkadot, had clearly stated that he intended to throw $777 million dollars (about 18, 900,000 DOT) into funding the blockchain auction to be granted only through the governance of the Polkadot Community.
Gavin Wood, who is also a co-founder of Ethereum, spoke on how he hoped the fund should be spent on the improvement and building of the Polkadot education system as this is in line with the community vision of the Polkadot ecosystem. He had also stated his trust in the Council governance saying that the funds are to be spent on anything the council thinks would be valuable to the blockchain ecosystem. According to Polkadot wiki, the funds can be spent only if approved by the Polkadot Council which currently consists of 13 members. The Council is however looking to expand its seat to 24 in the closest time possible.
Poor Relationship Looms Between The Polkadot Governance and Its Community
It stated that many Polkadot governance votes have been met with very poor community interference in the past and, they might be working towards closing the gap by bolstering DOT holders participation and engagement with its government.
Also stakeholders who wish to put forward a proposal for a seat in the Council are being met with a risk that entails that they have to comply with a complementary reserve of at least a 5% deposit of their proposed seed which will either be halved or returned to them based on rejection or acceptance respectively. This, in clear terms, means that stakeholders stand a risk of losing half of their reserve when they have been rejected and the chance of having it all back when they have been accepted.
Suspicions have arisen that the early release of the development fund which happens to be just a few weeks behind the scheduled Polkadot auctions release is geared towards the intent to develop Polkadots’ upcoming parachain auction. The goal of this highly anticipated Polkadot parachain lease auction is driven towards achieving the top vision of birthing a fragmented or sharded parachain ecosystem. And to see Polkadot securing a slot for one of its 100 parachains and also a bid to fix up the DOT.
Polkadot has relay chains that can generally carry out processes like making transfers, staking services, the Polkadot governance, and they are also working on future Para-chains that are being tasked with advanced functions like smart contract and front-chain compatibility. There is a strong feeling that this new fund release is geared towards encouraging developers to begin building on Polkadot towards the anticipated parachain auction.
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