A proposal to change Solana's inflation system, known as SIMD-228, has been rejected by stakeholders. The vote saw participation from around 74% of the staked supply across 910 validators, with only 43.6% in favor. The proposal aimed to dynamically adjust inflation based on staking participation, potentially reducing inflation by up to 80% instead of following a fixed schedule. The current inflation rate starts at 8% and decreases to 1.5% over time, while the proposal sought to react to real-time staking levels, potentially increasing security if staking participation dropped. Outcomes included a minor price dip of SOL by 1.5% on the voting day. Despite its defeat, the vote was praised as a significant governance achievement, being the largest in terms of participants and market cap within the crypto ecosystem, likened to the turnout seen in US presidential elections. Multicoin Capital co-founder Tushar Jain hailed the event as a scaling stress test for the network's governance process, indicating a diverse array of opinions among stakeholders.

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