Overview
- The House of Stake approved proposal HSP-029 on November 2 with about 99.97% of participating veNEAR in favor and roughly 62% turnout, authorizing a reduction in the network’s issuance cap from 2.5% to 1.6%.
- The change is staged: it must clear Security Council ratification and validator adoption, then a roughly 90-day grace period will begin before a 24-month epoch-by-epoch ramp down to the 1.6% cap.
- Proposal modeling projects about 11.8 million fewer NEAR issued over two years and about 66.1 million fewer over six years, with daily issuance falling from roughly 89,500 to 57,300 NEAR and gross staking yields dropping from about 5.27% to 3.37%.
- The plan keeps the existing distribution split—90% of new issuance to stakers and 10% to the treasury—so the treasury’s inflows shrink in line with lower issuance and no validator subsidies or new treasury spending were included.
- NEAR’s move continues a tightening that began with last year’s cut from 5% to 2.5%, and the vote has already coincided with price pressure as some market participants priced the lower future rewards into NEAR’s value.