Helius Labs passes disinflation proposal after intense outreach to Solana validators

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Solana’s inflation schedule just got a significant haircut. SIMD-0550, a proposal spearheaded by Helius Labs CEO Mert Mumtaz, has cleared formal governance after weeks of aggressive outreach to validators and stakeholders. The result: Solana’s annual disinflation rate doubles from 15% to 30%, meaning the network reaches its terminal inflation floor of 1.5% in roughly 2.8 years instead of the previously projected 5.7 years. That timeline compression matters. It translates to approximately 18.9 million fewer SOL entering circulation over six years, a reduction worth about $1.51B at the time the projections were calculated. For a network that has faced persistent criticism about supply-side pressure on token price, this is the most consequential monetary policy change Solana has enacted through its governance process. What SIMD-0550 actually changes Solana’s inflation model works on a simple taper. Each epoch, the network’s inflation rate decreases by a fixed percentage, gradually approaching a terminal floor. Before SIMD-0550, that taper rate was set at 0.15, or 15% annually. The proposal doubles it to 0.30. The practical effect is a 2.6% lower total supply trajectory over the coming...

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