Solana's official governance page passed a new proposal last night, agreeing to allocate 100% of the priority fee to validators, replacing the current 50% destruction and 50% reward structure. (Currently, Solana's transactions include two fees: base fee and priority fee)
Official introduction explanation:
The current preferential fee collection model (50% burned, 50% rewarded) does not fully align with validator incentives and inadvertently encourages private transactions.
For example, consider a situation where a transaction submitter wants their transaction to be processed first. Under the current model, they may choose to pay 75% of the priority fee directly to the block producer to ensure that their transaction is processed quickly, rather than paying 100% of the priority fee, of which the block producer only gets 50%. This creates an imbalance where the incentives of validators are not fully aligned with the overall health and security of the network.
To address this, it is proposed to adjust the priority fee structure to reward 100% of the fees collected to validators. This ensures that validators are properly incentivized to prioritize the security and efficiency of the network, rather than being incentivized to participate in potentially harmful private transactions.
77% of voters supported the passage
The official governance page shows that the final support rate of this vote reached 77.7%. 100% of the priority fees will be awarded to validators to ensure that validators have the appropriate incentives to prioritize the security and efficiency of the network.
Officials said that this feature is currently available in the Master of Agave library (minimum version 2.0), and will be launched on mainnet-beta in accordance with normal function activation rules after reaching a sufficient number of staking quorums.
SOL strives to maintain $170
Perhaps influenced by the passage of this proposal, the price of SOL has been fluctuating upward since it reached a low of $161 in the early morning of yesterday (27). At around 01:00 today (28), it reached a high of $172.28.
However, selling pressure emerged afterwards. Before writing, SOL was trading at $169.62, up 2.56% in the past 24 hours.
