The post $2.9B Cut? Solana Eyes Faster Path to 1.5% Inflation appeared on BitcoinEthereumNews.com.  Key Insights: Proposal may accelerate inflation drop, cutting SOL issuance by 22.3 million over six years. Faster decrease in supply could reduce staking pressure and improve long-term holder retention. Governance vote will decide if Solana adopts the accelerated path to 1.5% inflation. $2.9B Cut? Solana Eyes Faster Path to 1.5% Inflation Solana’s community is reviewing a new proposal, SIMD-0411, that would speed up the network’s path to its long-term inflation target. The current inflation decrement rate is set at –15%. The new proposal aims to double it to –30%, cutting the time to reach 1.5% inflation from 6.2 years to about 3.1 years. If passed, the target would be met in early 2029 instead of 2032. The annual inflation rate currently sits near 4.18%. Over 22 Million SOL Could Be Removed From Future Issuance The proposed adjustment would lower token issuance by an estimated 22.3 million SOL over six years. Based on today’s prices, that’s a cut of roughly $2.9 billion. This change would reduce the supply entering circulation and ease pressure on staking rewards. Supporters say the shift could improve long-term network value and make the yield structure more stable. According to the proposal: “The adjustment reduces issuance pressure and improves holder retention over time.” Staking Yield May Stabilize if Inflation Drops The decrease in token supply growth may help reduce volatility in staking returns. This could encourage long-term participation from validators and token holders. With lower yield dilution, holders may be more likely to keep their tokens staked. There are some concerns in the community that the faster reduction could be too aggressive. Others argue it brings forward a change that is already planned and helps the network adjust to evolving demand. Governance Review in Progress The proposal is under open discussion and will require a vote from… The post $2.9B Cut? Solana Eyes Faster Path to 1.5% Inflation appeared on BitcoinEthereumNews.com.  Key Insights: Proposal may accelerate inflation drop, cutting SOL issuance by 22.3 million over six years. Faster decrease in supply could reduce staking pressure and improve long-term holder retention. Governance vote will decide if Solana adopts the accelerated path to 1.5% inflation. $2.9B Cut? Solana Eyes Faster Path to 1.5% Inflation Solana’s community is reviewing a new proposal, SIMD-0411, that would speed up the network’s path to its long-term inflation target. The current inflation decrement rate is set at –15%. The new proposal aims to double it to –30%, cutting the time to reach 1.5% inflation from 6.2 years to about 3.1 years. If passed, the target would be met in early 2029 instead of 2032. The annual inflation rate currently sits near 4.18%. Over 22 Million SOL Could Be Removed From Future Issuance The proposed adjustment would lower token issuance by an estimated 22.3 million SOL over six years. Based on today’s prices, that’s a cut of roughly $2.9 billion. This change would reduce the supply entering circulation and ease pressure on staking rewards. Supporters say the shift could improve long-term network value and make the yield structure more stable. According to the proposal: “The adjustment reduces issuance pressure and improves holder retention over time.” Staking Yield May Stabilize if Inflation Drops The decrease in token supply growth may help reduce volatility in staking returns. This could encourage long-term participation from validators and token holders. With lower yield dilution, holders may be more likely to keep their tokens staked. There are some concerns in the community that the faster reduction could be too aggressive. Others argue it brings forward a change that is already planned and helps the network adjust to evolving demand. Governance Review in Progress The proposal is under open discussion and will require a vote from…

$2.9B Cut? Solana Eyes Faster Path to 1.5% Inflation

 Key Insights:

  • Proposal may accelerate inflation drop, cutting SOL issuance by 22.3 million over six years.
  • Faster decrease in supply could reduce staking pressure and improve long-term holder retention.
  • Governance vote will decide if Solana adopts the accelerated path to 1.5% inflation.
$2.9B Cut? Solana Eyes Faster Path to 1.5% Inflation

Solana’s community is reviewing a new proposal, SIMD-0411, that would speed up the network’s path to its long-term inflation target. The current inflation decrement rate is set at –15%. The new proposal aims to double it to –30%, cutting the time to reach 1.5% inflation from 6.2 years to about 3.1 years.

If passed, the target would be met in early 2029 instead of 2032. The annual inflation rate currently sits near 4.18%.

Over 22 Million SOL Could Be Removed From Future Issuance

The proposed adjustment would lower token issuance by an estimated 22.3 million SOL over six years. Based on today’s prices, that’s a cut of roughly $2.9 billion. This change would reduce the supply entering circulation and ease pressure on staking rewards.

Supporters say the shift could improve long-term network value and make the yield structure more stable. According to the proposal: “The adjustment reduces issuance pressure and improves holder retention over time.”

Staking Yield May Stabilize if Inflation Drops

The decrease in token supply growth may help reduce volatility in staking returns. This could encourage long-term participation from validators and token holders. With lower yield dilution, holders may be more likely to keep their tokens staked.

There are some concerns in the community that the faster reduction could be too aggressive. Others argue it brings forward a change that is already planned and helps the network adjust to evolving demand.

Governance Review in Progress

The proposal is under open discussion and will require a vote from validators and stakeholders before it can take effect. If approved, it will be implemented through a future network upgrade.

The authors of the proposal describe it as “predictable and minimal in complexity,” aimed at creating fewer disruptions while achieving long-term supply control.

At the time of writing, Solana (SOL) trades at $129.50. The market cap stands near $57.3 billion.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Source: https://coincu.com/news/2-9b-cutsolana-eyes-faster-path-to-1-5/

Market Opportunity
Archer Hunter Logo
Archer Hunter Price(FASTER)
$0.0001109
$0.0001109$0.0001109
0.00%
USD
Archer Hunter (FASTER) Live Price Chart
Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact service@support.mexc.com for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

Tom Lee’s Bitmine stakes $3.9 billion in Ethereum, hits nearly 70% of accumulation goal

Tom Lee’s Bitmine stakes $3.9 billion in Ethereum, hits nearly 70% of accumulation goal

The post Tom Lee’s Bitmine stakes $3.9 billion in Ethereum, hits nearly 70% of accumulation goal appeared on BitcoinEthereumNews.com. Key Takeaways Bitmine Immersion
Share
BitcoinEthereumNews2026/01/12 23:16
Surprising Decision from Dubai! “These Altcoins Are Completely Banned!”

Surprising Decision from Dubai! “These Altcoins Are Completely Banned!”

Dubai DIFC has announced a complete ban on privacy-focused altcoins such as ZEC and XMR in the financial markets under its jurisdiction. Continue Reading: Surprising
Share
Coinstats2026/01/12 22:43
UK and US Seal $42 Billion Tech Pact Driving AI and Energy Future

UK and US Seal $42 Billion Tech Pact Driving AI and Energy Future

The post UK and US Seal $42 Billion Tech Pact Driving AI and Energy Future appeared on BitcoinEthereumNews.com. Key Highlights Microsoft and Google pledge billions as part of UK US tech partnership Nvidia to deploy 120,000 GPUs with British firm Nscale in Project Stargate Deal positions UK as an innovation hub rivaling global tech powers UK and US Seal $42 Billion Tech Pact Driving AI and Energy Future The UK and the US have signed a “Technological Prosperity Agreement” that paves the way for joint projects in artificial intelligence, quantum computing, and nuclear energy, according to Reuters. Donald Trump and King Charles review the guard of honour at Windsor Castle, 17 September 2025. Image: Kirsty Wigglesworth/Reuters The agreement was unveiled ahead of U.S. President Donald Trump’s second state visit to the UK, marking a historic moment in transatlantic technology cooperation. Billions Flow Into the UK Tech Sector As part of the deal, major American corporations pledged to invest $42 billion in the UK. Microsoft leads with a $30 billion investment to expand cloud and AI infrastructure, including the construction of a new supercomputer in Loughton. Nvidia will deploy 120,000 GPUs, including up to 60,000 Grace Blackwell Ultra chips—in partnership with the British company Nscale as part of Project Stargate. Google is contributing $6.8 billion to build a data center in Waltham Cross and expand DeepMind research. Other companies are joining as well. CoreWeave announced a $3.4 billion investment in data centers, while Salesforce, Scale AI, BlackRock, Oracle, and AWS confirmed additional investments ranging from hundreds of millions to several billion dollars. UK Positions Itself as a Global Innovation Hub British Prime Minister Keir Starmer said the deal could impact millions of lives across the Atlantic. He stressed that the UK aims to position itself as an investment hub with lighter regulations than the European Union. Nvidia spokesman David Hogan noted the significance of the agreement, saying it would…
Share
BitcoinEthereumNews2025/09/18 02:22