Crypto
Ethereum Researchers Propose Burning Validator Rewards to Offset Rising Staking
A proposal submitted by six Ethereum researchers suggests progressively burning validator rewards as staked ETH grows.
The mechanism would bring net issuance to zero when staking reaches around 60.25 million ETH, equivalent to roughly half of the total supply.
The proposal, known as EIP-8361, aims to offset rising staking and push net issuance toward zero.
Jérôme de Tychey, one of the authors, projects more than 70 million ETH staked by January 2028 if no action is taken.