Polkadot DAO has announced the passage of Referendum 1710, marking a significant event in the platform's history. The maximum number of DOT tokens is now capped at 2.1 billion.
Approval of Referendum 1710
Referendum 1710 was approved with 81% of the vote, establishing a cap on the maximum number of DOT tokens at 2.1 billion. This decision replaces the previous inflationary model that produced about 120 million new tokens annually.
Impact on Long-term Outlook
Under the newly adopted framework, tokens will follow a two-year inflation schedule, significantly slowing growth. Projections show that the total supply will reach approximately 1.91 billion by 2040 — far below the 3.4 billion that could have been minted under the old rules.
Importance of Governance through OpenGov
The outcome also underscores the growing importance of OpenGov, the decentralized governance system launched in 2023. OpenGov allows any DOT holder to propose, vote directly, or delegate their voting power, creating a direct channel for community-led changes.
By instituting a cap on DOT token supply, Polkadot has tightened its control over monetary policy and signaled the community's readiness to prioritize scarcity and value preservation.
