Solana Validators Eye Major Shifts in Token Supply Growth

Two separate proposals are being considered by Solana validators to change SOL supply growth. The first, SIMD-0553, would raise daily SOL burns from about 648 to as much as 9,000 through a new fee model that charges transactions based on requested network resources. In addition to the base transaction fees, users would also pay a resource fee that depends on compute power, account data, and other network resources.

The second proposal, SIMD-0550, aims to increase Solana's annual disinflation rate from 15% to 30%, allowing the network to reach its 1.5% inflation floor in 2029 instead of 2032. This change would result in about 18.9 million fewer SOL being issued over six years.

While these changes could slow down Solana's supply growth, it's essential to note that even a daily burn rate of 9,000 SOL would not make SOL deflationary, given the network still issues about 60,000 SOL per day. The proposals have gained support from 16 validators but require more backing before moving to a formal vote.