NEAR proposed reducing inflation from 2.5% to 1.6% and, in the long term, pegging the supply.

SVRN CEO Sal Ternullo proposed gradually reducing NEAR’s annual emission rate from 2.5% to 1.6% over 24 months. The vote is scheduled for next week. Staking yields will drop from 5.4% to 3.5%, but over six years, about 66 million NEAR—roughly $329 million—will not enter circulation.

Currently, 58.7% of tokens are unstaked, and their holders are simply diluted. The author dismisses concerns about validator attrition: after last year’s emission reduction from 5% to 2.5%, the number of validators increased from 342 to 413.

The long-term goal is to completely halt emissions and fix the total supply.