🚨 NEAR PROTOCOL: A BIG CHANGE TO TOKENOMICS!

NEAR Protocol's House of Stake has approved proposal HSP-029, which aims to reduce the network's maximum annual token issuance rate from 2.5% to 1.6% over 24 months.

🔍 What does this mean?

📉 Lower issuance: Fewer new NEAR tokens would be created over time.

🛡️ Reduced dilution: The change could reduce the rate at which non-staking holders are diluted.

💰 Staking trade-off: The proposal models gross staking yield falling from approximately 5.27% to 3.37%, assuming participation stays unchanged.

⚙️ Same allocation: The existing 90% for staking participants and 10% for the treasury remains unchanged.

⚠️ Important: The governance vote has passed, but the change is NOT active yet. Security Council review, a grace period and validator adoption of a protocol upgrade are still required.

💬 Your opinion: Would you prefer lower token inflation or higher staking rewards?

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