Polkadot holders vote in support of dotUSD proposal and receive US$5 million in funding

Poca holders vote on the dotUSD proposal, and holders of the Polkadot network that plans to use US$5 million in treasury funds to launch the

Polkadot network are voting on a native stablecoin proposal called "dotUSD." The proposal calls for $5 million from the treasury as start-up capital. Currently, the dotUSD stablecoin proposal has not yet been funded or officially launched. Its fate depends entirely on the ongoing public governance vote.

What are Boca holders voting on?

This proposal is reflected on the chain as "Referendum No. 1944", titled "dotUSD: Poca's Native Stabiloin." When retrieving the page, the referendum was in a "Deciding" state on the Root track.

The core logic of the proposal is simple: provide Boca with an asset with stable value owned by the agreement, rather than relying entirely on external issuers. The holder is not approving a finished product, but is voting to authorize and inject initial capital into it.

The rollover is divided into two stages, the order is crucial:

• Phase 1: Only releases a stablecoin buffer pool, allowing users to use USDT to cast dotUSD in a 1:1 ratio until the upper limit is reached. The proposal states that the functions at this stage have been built and run on-chain, without the need for oracles, vaults or clearing mechanisms.
• Second stage: This is where the ambition of the proposal lies. It proposes the introduction of DOT mortgage vaults, oracle machines, stability pools, clearing mechanisms and redemption capabilities. These are planned late-stage features and will not be launched simultaneously in the early stages of launch.

There is a significant choice in the design: dotUSD will be defined as a "sufficient" asset, which means that users can hold dotUSD only on the chain without having to hold DOT at the same time. The initial liquidity pool will pair DOT with dotUSD at the Polkadot Asset Hub, known as Hub DEX, rather than the traditional USDT/DOT trading pair.

What does US$5 million treasury support mean?

The number on headlines is a request, not a fait accompli. The proposal calls for the Boca Treasury to provide $2.5 million in USDT to mingle dotUSD and $2.5 million in DOT to provide seed money for initial liquidity, for a total application allocation of $5 million.

There is a key difference here: the funds have not been transferred and dotUSD has not yet been launched. The so-called "support" relies on a voted treasury liquidity proposal rather than on committed funds or circulating reserves.

In addition, the "USDT-first" design complicates any claim that dotUSD can immediately free Boka from a centralized stablecoin issuer. The first phase is clearly endorsed by the USDT. Only in the second stage will the DOT mortgage vault appear.

The Boca Community Foundation describes its role as purely administrative, i.e. submitting proposals for DAO approval. The statement stated that they will not operate dotUSD, do not hold user collateral, do not provide liquidity, and do not receive user assets. This is the position of the sponsors, not an independent regulatory determination.

Meanwhile, DOT itself performed strongly, trading at $1.25 during the research window, up about 18% in 24 hours. This trend belongs to the broader market context and does not prove to be a price reaction to the vote.

dotUSD voting status and next steps

At the time of search, the referendum was still in the "decision" status and the number of votes was wide. The SubSquare referendum page showed that 97.5% of the votes were in favor and 2.5% were against. About 2.34 million DOTs voted in favor and 59,900 DOTs voted against.

It should be noted that these are votes weighted by DOT, not the number of independent holders. The "support rate" displayed separately on the page is only 0.03%. These numbers are rounded and change over time and are not the final result.

Even if the vote is approved, dotUSD will not be enabled immediately. The proposal presupposes that all system chains need to be upgraded to runtime version 2.5 through another measure, namely "Upgrade System Chains to 2.5"(Referendum 1942), which is also currently in a "decision-making" state on the whitelist callers track.

Poca's governance ambitions are attracting widespread attention beyond stablecoins. Institutional interest has been demonstrated through moves such as DTCC listing 21Shares Poka pledged ETF shares (code TDOT), although Grayscale withdrew its SEC ETF application covering Cardano, Hedera and Polkadot.

The risks of decentralized finance (DeFi) cannot be ignored. Native stablecoin experiments have proven fragile elsewhere, such as Cronos rolling back the blockchain after suffering a $111 million DeFi vulnerability, which reminds us that once the second phase of treasury and clearing mechanisms are online, there are real risks.

So while the vote was overwhelmingly in favor, the money was still in the treasury, the code was still waiting for dependencies to be resolved, and the DOT-backed engine was still only a second-stage commitment. Will holders finish what they started, or will dotUSD stall between an approved idea and a workable stablecoin?

Disclaimer : This article is for reference only and does not constitute financial or investment advice. There are significant risks in the cryptocurrency and digital asset markets. Be sure to conduct independent research before making a decision.