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      Solana Validators Approve Proposal to Double Annual Deflation Rate to 30%

      Solana validators have approved the 'Dual Deflation' proposal, designated SGP-0002, which will increase the network's annual deflation rate from 15% to 30%. The proposal received 67% support from voters, with 25.16% opposing it and 7.84% abstaining, reflecting a participation rate of 60.7%. This change is expected to reduce the total issuance of SOL by approximately 18.9 million over the next six years, bringing the terminal inflation rate to 1.5% in about 2.8 years, compared to the original plan's timeline of 5.7 years.

      This vote marks a significant milestone as Solana's first binding governance process, which also included the approval of the proposed Solana Constitution. However, another proposal concerning resource and inclusion fees was rejected. Notably, Figment, the largest voter with 17.1 million SOL, opposed the proposal entirely, while Helius and Jupiter showed overwhelming support. During the voting, Kraken, a U.S. exchange, briefly cast an opposing vote, causing a temporary dip in support, but ultimately shifted the majority of its 8.9 million SOL voting position to favor the proposal.

      In related news, Bitwise's Solana ETF has surpassed $1 billion in assets under management, becoming the first Solana ETF to achieve this milestone. Bloomberg ETF analyst Eric Balchunas reported that U.S. Solana ETFs have experienced a cumulative net inflow of approximately $1.7 billion since their inception, with minimal outflows.

      © 2026 KLEA News. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

      Source: KLEA News

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