Ethereum Researchers Propose Tapered Issuance Burn for Staking Rewards

Ethereum researchers have proposed a new plan to modify the staking reward structure on the network. The proposal, known as EIP-8361 or Tapered Issuance Burn, aims to gradually reduce ETH issuance as more tokens enter the validator system.

The draft suggests burning a growing portion of validator rewards until new ETH issuance reaches zero when approximately 60.25 million ETH are actively staked, representing around 50% of Ethereum's current supply.

The researchers estimate that the amount of staked ETH could surpass 70 million by January 2028 if validator demand continues growing and withdrawal activity remains limited.