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Solana Community Rejects Inflation Overhaul While Backing Staking Rewards Reform

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  • SIMD-228 failed, securing only 61.4% YES votes, below the 66.67% threshold.
  • SIMD-123 passed, allowing validators to share revenue with stakers on-chain.
  • Record voter turnout of 74%, the highest for any crypto governance vote.

Solana’s community just made two big decisions about the network’s future – and they have significant implications for SOL holders. A proposal to slash Solana’s inflation rate (SIMD-228) failed, while a plan to share revenue with validators (SIMD-123) passed. 

The vote, with 74.3% of Solana’s total stake participating, marked the highest engagement in Solana’s governance history – surpassing even U.S. presidential elections turnout in the past 100 years, as proudly noted by Solana on X.

https://twitter.com/solana/status/1900289420496167054

Inflation Cut Rejected: What It Means

SIMD-228 aimed to ditch Solana’s fixed inflation schedule for a market-driven system, adjusting token issuance based on staking participation. 

The goal was to reduce Solana’s inflation rate to below 1% annually at the current staking rate of 65%. This contrasts with the existing fixed schedule of 4.6% annually, decreasing to 1.5% over tim…

The post Solana Community Rejects Inflation Overhaul While Backing Staking Rewards Reform appeared first on Coin Edition.

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