$OSMO will no longer be issued. The Osmosis on-chain governance proposal to stop inflation passed in the early hours of 10/26 Beijing time, and the chain’s minting parameters have now been changed so that no new tokens are created.
Osmosis is a decentralized exchange in the Cosmos ecosystem, where people trade tokens from different chains. OSMO is its governance and staking token.
The chain used to mint around 120,000 new OSMO every day. Most went to the community treasury, while some were distributed to stakers and developers. The team said that OSMO burned through fees and the arbitrage module had long exceeded the amount of new tokens entering the market, so they decided to stop issuance at the source.
From now on, all staking rewards will come from protocol revenue—the busier trading gets, the more tokens will be burned. The daily unlock of the developers’ allocation of pre-mined tokens has also been paused.
Another proposal for the v32 upgrade is up for a vote, with voting closing at 5 p.m. Beijing time today. It currently has an overwhelming majority in favor. If it passes, the upgrade is expected to happen around 11 p.m. tonight and will convert other tokens stuck in the arbitrage module into OSMO and burn them.
Osmosis is a decentralized exchange in the Cosmos ecosystem, where people trade tokens from different chains. OSMO is its governance and staking token.
The chain used to mint around 120,000 new OSMO every day. Most went to the community treasury, while some were distributed to stakers and developers. The team said that OSMO burned through fees and the arbitrage module had long exceeded the amount of new tokens entering the market, so they decided to stop issuance at the source.
From now on, all staking rewards will come from protocol revenue—the busier trading gets, the more tokens will be burned. The daily unlock of the developers’ allocation of pre-mined tokens has also been paused.
Another proposal for the v32 upgrade is up for a vote, with voting closing at 5 p.m. Beijing time today. It currently has an overwhelming majority in favor. If it passes, the upgrade is expected to happen around 11 p.m. tonight and will convert other tokens stuck in the arbitrage module into OSMO and burn them.