NEAR Tackles Inflation with 24-Month Token Issuance Cut

NEAR Protocol is considering a new governance proposal that would reduce its maximum annual token issuance from 2.5% to 1.6% over a period of 24 months. This move aims to lower the number of new NEAR tokens entering circulation while keeping the existing 90/10 split between stakers and the treasury unchanged.

The proposal also introduces a longer-term idea: eventually ending new issuance and moving NEAR toward a fixed total supply. However, this goal is not part of the current proposal and would require further research and future governance decisions.

According to the discussion, at the current 2.5% rate, approximately 89,500 new NEAR tokens are created each day. Over six years, the proposed reduction would avoid about 66 million NEAR from being newly issued.