Solana Proposal SIMD 228 Fails to Pass, Maintaining Current Inflation Rate
Solana's proposal SIMD 228 has gained attention as it reached quorum with 70% of votes in favor. Voting ends at Epoch 755, approximately 52 hours from now.
Key points regarding SIMD 228:
- Current inflation rate for Solana is 4.6%, initially set at 8% and decreasing by 15% annually until reaching 1.5% in 2030.
- The proposal did not pass before the voting deadline.
- Supporters believe the benefits of the proposal outweigh concerns about inflation and dilution for SOL holders.
- Critics argue that high emissions lead to increased selling pressure on SOL due to entities like validators charging significant fees.
- Some view emissions as beneficial for distributing staking yield to institutional investors without direct exposure to SOL.
This summary provides insights into ongoing discussions about Solana's inflation management and its implications for investors.