The Solana community has proposed SIMD-0411 to double the annual network inflation reduction rate from –15% to –30%. If approved, this adjustment would accelerate the reduction of SOL inflation from the current 4.18% to the long-term target of 1.5% by early 2029, instead of 2032.
The time to reach stable inflation would be shortened to approximately 3.1 years instead of 6.2 years. The proposal also has a significant impact on supply: the amount of SOL expected to be issued would decrease by about 22.3 million tokens over the next six years, equivalent to nearly $2.9 billion at current prices. The reduction in issuance would help ease pressure on staking yields, increase the token retention rate, and strengthen the network’s long-term sustainability. SIMD-0411 is designed to be simple, predictable, and is currently under governance discussion.
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Solana will reduce inflation faster with the new proposal SIMD-0411
The Solana community has proposed SIMD-0411 to double the annual network inflation reduction rate from –15% to –30%. If approved, this adjustment would accelerate the reduction of SOL inflation from the current 4.18% to the long-term target of 1.5% by early 2029, instead of 2032.
The time to reach stable inflation would be shortened to approximately 3.1 years instead of 6.2 years. The proposal also has a significant impact on supply: the amount of SOL expected to be issued would decrease by about 22.3 million tokens over the next six years, equivalent to nearly $2.9 billion at current prices. The reduction in issuance would help ease pressure on staking yields, increase the token retention rate, and strengthen the network’s long-term sustainability. SIMD-0411 is designed to be simple, predictable, and is currently under governance discussion.