<h3 id="context">Context</h3>
On March 27, 2024, LimeChain submitted <a href="../referenda/618">Referenda 618</a>, requesting 18,694 DOT, equivalent to $176,135 USD at the time, based on the EMA-30 price of $9.422 per DOT. The proposal was approved, and funds were received on May 13, 2024. However, by then, the price of DOT had dropped to $6.617, resulting in a significant shortfall in the USD value of the funds.
Despite this, we successfully completed and deployed the project, delivering substantial improvements to the speed, performance, and indexing capabilities of Subsquid, a critical tool for accessing on-chain data within the Substrate ecosystem. For detailed updates on our progress and guidance on using the indexer, please refer to our <a href="https://forum.polkadot.network/t/polkadot-giantsquid-updates-thread/8847">updates thread</a>.
Our full treasury report is available <a href="https://docs.google.com/document/d/1DiPfdH-RDXcz-ELn2WYI_ipmv9pqygKS3ZwpnjvJr30/edit#heading=h.vulu69wz3vlk">here</a>.
At the time of submitting Proposal 618, stablecoin-denominated requests were not widely practiced or available. To prevent similar issues in future proposals, we will request funding in stablecoin-denominated amounts moving forward.
<h3 id="shortfallcalculation">Shortfall Calculation</h3>
Initial Proposal (March 27, 2024):
<ul>
<li>Requested DOT: 18,694 DOT</li>
<li>EMA-30 Price: $9.422 per DOT</li>
<li>Total USD Value: $176,135 USD</li>
</ul>
Funds Received (May 13, 2024):
<ul>
<li>Received DOT: 18,694 DOT</li>
<li>DOT Price: $6.617 per DOT</li>
<li>Actual USD Value: $123,698 USD</li>
</ul>
Shortfall:
<ul>
<li>USD Shortfall: $176,135 - $123,698 = $52,437 USD</li>
<li>Planned Slippage (5%): $8,387 USD</li>
<li>Net Shortfall: $52,437 - $8,387 = $44,050 USD</li>
</ul>
<h3 id="topuprequest">Top-up Request</h3>
In addition to the development efforts required to implement the planned features, a significant portion of the project budget was allocated to infrastructure costs. However, due to the drop in DOT&rsquo;s value, this portion of the budget has been greatly reduced. The funds from this top-up proposal will be used to cover these essential infrastructure expenses and ensure the project remains on track.
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- **Problem Statement:** LimeChain faced a significant shortfall in USD value due to the drop in DOT price after receiving approved funds for Referenda 618.
- **Significance:** The shortfall of $44,050 USD impacts the project's budget and infrastructure costs, necessitating a top-up request.
- **Proposed Solution:** Requesting funding in stablecoin-denominated amounts for future proposals to avoid similar issues.
- **Expected Outcomes:** Cover essential infrastructure expenses, ensuring the project progresses as planned.

#2512 Request for DOT Top-Up to Cover Price Difference - Giant Squid

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