Aptos is making a pivotal change in its tokenomics by shifting from an open-ended issuance model to a capped supply framework. According to the official information, this strategic move aims to better align the supply of APT tokens with the actual activity on the network.
Proposal for Hard Supply Cap
The Aptos Foundation has put forth a proposal to establish a hard supply cap of 21 billion APT tokens. In conjunction with this cap, the foundation plans to reduce annual staking rewards from the current 5.19% to 2.6%. This reduction is intended to slow down the rate of new token issuance, thereby stabilizing the token's value.
Enhanced Token Removal Mechanisms
Additionally, the proposal includes enhanced mechanisms for token removal from circulation, such as:
- token burns
- permanent staking options
These measures are designed to create a more sustainable economic environment for the Aptos network. The proposal is currently awaiting governance approval, marking a significant shift in the network's economic strategy.
In a notable development within the digital asset sector, CME Group is considering the launch of its own digital coin to improve settlement efficiency. This initiative contrasts with Aptos's recent shift to a capped supply model. For more details, see CME's initiative.
