Three Reasons Why Polkadot’s DOT Total Supply at 2.1B is Bullish

Polkadot has taken a step to increase the scarcity and long-term value of DOT, its native coin. After completing a vote on the project’s Referendum #1710, members of Polkadot’s decentralized autonomous organization (DAO) unanimously decided to place a hard cap on DOT, fixing the token supply at 2.1 billion tokens. 

🚨 DOT supply → capped at 2.1 Billion 🚨

The Polkadot DAO has signaled support for a hard cap, by passing Referendum 1710 on the “Wish For Change” track, with 81% in favor.

Today ⤵️

→ 1.6 Billion DOT exist
→ 120M DOT/year minted each year
→ No supply cap

What Ref. 1710… pic.twitter.com/OJMtDumAZC

— Polkadot (@Polkadot) September 14, 2025

Notably, this supply figure closely resembles that of Bitcoin (BTC), the leading blockchain network developed by its pseudonymous founder, Satoshi Nakamoto. The coin has a fixed supply of 21 million.

Only 2.1 Billion DOT

Before the landmark decision on September 14, 2025, Polkadot’s DAO planned to indefinitely mint 120 million DOT tokens yearly. If this had continued till 2040, there would be around 3.4 billion DOTs in circulation. However, the new decision has made this impossible.

Additionally, the project has introduced a biannual issuance reduction, which will occur on Pi Day, March 14. Following this pattern, the circulating supply of DOT by 2040 would be approximately 1.9 billion, before reaching the predefined cap of 2.1 billion.

According to data from CoinGecko, DOT dropped by approximately 5.5% to $4.2 within 24 hours after the supply fixing announcement. Its market capitalization was around $6.3 billion. However, the downtrend is short-lived as the new development is designed to enhance DOT’s long-term value. Additionally, the

Here are three reasons why locking DOT’s supply should be considered a bullish step.

What Fixed Token Supply Means for DOT

• Increased Scarcity

Agreeably, a significant cause of currency inflation is oversupply. This deters long-term investors from purchasing the asset. Hence, by fixing the DOT supply at 2.1 billion units, the coin has been designed to become increasingly scarce over time, thereby eliminating the risk of inflation.

This also attracts more investors as it sends a signal of strong sustainability amid the crypto market’s volatility. DOT becomes more attractive to investors as a digital store of value, thereby boosting demand for the cryptocurrency. This could, over time, push DOT to surpass its all-time high of above $11.5 per coin.

• Predictable Tokenomics

Predictability reduces uncertainty, which is often a barrier for new investors considering the purchase of the DOT token. However, with a fixed supply cap, intending investors and long-term DOT holders can confidently calculate the long-term token distribution and market cap potential with greater certainty, leading to more informed investment decisions in DOT. 

• Mainstream Acceptance 

Low inflation and predictability are crucial factors to consider when evaluating cryptocurrencies for listing as exchange-traded funds (ETFs). Informed ETF investors examine these factors when making investment decisions.

Hence, fixing DOT’s supply increases its chances of being approved as a regulated investment fund. This way, the asset extends its reach to traditional investors seeking indirect exposure to high-potential cryptocurrencies. Notably, these traditional audiences have purchased large quantities of Bitcoin and Ethereum ETF shares. Thus, welcoming a DOT ETF would open a great opportunity for diversified investment while boosting the token’s price in the long run.

Moreover, fixing DOT’s supply at 2.1 billion tokens gives it a competitive edge against other native crypto assets of prominent crypto projects. For instance, ETH is dependent on the burning mechanism, whereas SOL remains inflationary. Meanwhile, Polkadot now sits as a multichain platform with a capped token supply, giving it an advantage in attracting developers, investors, and users.

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