Sebastien Guillemot, a key contributor to the Cardano (ADA ($0.72)) ecosystem, recently announced a major donation from his development team, dcSpark. The team contributed 686,567 ADA, valued at $460,000, to the Cardano Treasury. This donation consisted of a $400,000 loan and $60,000 in accumulated interest.

Delayed Process Due to Treasury Feature Implementation

The donation process took longer than anticipated, as the team had to wait for the official implementation of the treasury donation feature on the Cardano blockchain. To ensure fairness, dcSpark calculated interest on a month-by-month basis at a 6% APR over the entire holding period.

Related article: Charles Hoskinson Engages with Japanese Officials on Crypto Regulations

As builders in the Cardano ecosystem, Guillemot and dcSpark took this opportunity to improve development resources. 

They introduced an upgraded version of the Cardano Rust SDK, which now supports the newly added treasury donation functionality. This update expands the toolkit available to developers, making on-chain contributions easier.

ADA Purchased at $0.67 Before Market Drop

Guillemot also disclosed the acquisition cost of the donated tokens. dcSpark purchased ADA at an average price of $0.67, just days before making the contribution. 

Related article: Cardano (ADA) Gears Up for Volatility as Bollinger Bands Tighten

However, shortly after the donation, ADA’s price dropped significantly, along with the broader cryptocurrency market. The token now trades at $0.5231. Despite the price decline, Guillemot emphasized the long-term benefits of increasing the Cardano Treasury’s reserves. 

According to Cexplorer, the Treasury now holds over 1.72 billion ADA, equivalent to $927.08 million at current market prices.

The post Cardano Treasury Expands as Dev Team Donates 686,567 ADA appeared first on FXcrypto News.