In the first half of 2024, Polkadot spent $37 million on outreach, targeting new users, developers, and businesses. Polkadot is a blockchain protocol designed to enable multiple blockchains to interoperate seamlessly and at scale. It was developed by the Web3 Foundation and led by Ethereum co-founder Dr. Gavin Wood.

The recently released Polkadot Treasury Mid-Year Financial Report Analysis revealed that network revenue was $250,000, while expenditures exceeded $80 million. A significant portion of this expenditure, approximately $37 million, was allocated to marketing.

Web3 commentators have expressed concerns about this spending. They argue that investing $37 million in marketing without achieving tangible results is problematic, especially given the low awareness of Polkadot. Funds used for ineffective marketing could have been better allocated to other initiatives, such as incentivizing developers, improving the platform, or enhancing community engagement. Extensive spending without a corresponding increase in user acquisition or network activity can deplete the treasury.

Acquiring users in the web3 space is challenging. The technology can be complex and intimidating for new users, with concepts like wallets, private keys, and gas fees requiring a steep learning curve. Many potential users do not yet understand the benefits and opportunities that web3 technologies offer.

Polkadot might benefit from analyzing and potentially replicating the marketing strategies of successful blockchains like Ethereum and Solana. These networks have built strong communities and developer ecosystems through technical innovation, community engagement, and strategic partnerships.