Solana validators have approved a plan to reduce the creation of new SOL, potentially lowering future issuance by 18.9 million over six years. Two other votes remain open: one would establish a formal governance system, while another could change network transaction fees. The approved proposal doubles the rate at which Solana gradually reduces token issuance, allowing it to reach its 1.5% inflation floor in about 2.8 years instead of 5.7. A separate fee proposal has caused division among major validators, with some backing it and others voting against or abstaining.
Solana validators have approved a plan that will reduce the creation of new SOL, potentially lowering future issuance by 18.9 million over six years. The approved proposal, SGP-0002, doubles the rate at which Solana gradually reduces token issuance.
Solana will continue creating new SOL to reward people who help secure the network. However, those rewards will decline more quickly until annual inflation reaches its existing 1.5% floor.
The proposal estimates Solana could issue around 18.9 million fewer SOL over the next six years. It would also reach a 1.5% inflation rate in about 2.8 years instead of 5.7 years.
A separate proposal, SGP-0003, would change how Solana charges for transactions. Users currently pay a standard fee based on the number of signatures, but the proposal would introduce a small fixed charge plus a fee based on requested network capacity.
Simple transactions could become cheaper, while more demanding ones could pay more. The additional fee generated would be destroyed, potentially removing between 1,500 and 9,000 SOL from circulation daily.
Major validators have not reached the same conclusion about the plan. Figment and Staking Facilities backed it, while Jupiter, Bitwise Onchain Solutions, and Forward Industries voted against it.
A third proposal, SGP-0001, would establish formal rules for future network decisions. It had seen broader support with 89.17% of participating stake voting in favor.
