Ethereum and Solana evaluate major changes to token supply and inflation

Ethereum and Solana are considering significant changes to their token supply and inflation policies to balance network security with long-term supply pressure.

Ethereum researchers have proposed EIP-8361, a "Tapered Issuance Burn" mechanism. This proposal suggests burning an increasing portion of validator rewards as the percentage of staked ETH rises. If staking reaches 50% of the total supply, 100% of validator rewards would be burned. This could potentially reduce annual consensus-layer yields from approximately 2.6% to 1.2%. The proposal is being considered for the Hegotá upgrade, with full implementation potentially delayed until 2027 or 2028.

Solana is pursuing two simultaneous proposals: SIMD-0550 and SIMD-0553. SIMD-0550 aims to double the annual disinflation rate from 15% to 30%, which would accelerate the arrival of its inflation floor to 2029. SIMD-0553 proposes a shift to resource-based pricing for transaction fees. This change could increase the amount of SOL burned daily from approximately 650 tokens to between 7,500 and 9,000 tokens. Both Solana proposals have secured the 15% active stake support required to move into formal discussions.