A proposal aimed toward altering how Polygon
$0.2487
manages its token provide has been gaining help amongst neighborhood members.
The proposal was launched by a consumer beneath the identify @venturefounder, who has raised issues concerning the weak value efficiency of the POL token in comparison with different cryptocurrencies.
It focuses on eradicating the present 2% annual enhance in token provide. @venturefounder argued that this inflation provides tons of of thousands and thousands of latest tokens annually.
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To deal with this, the proposal suggests eliminating inflation completely and sustaining a set provide. Alternatively, it advises lowering inflation steadily by 0.5% each quarter till it reaches zero.
Moreover, the writer recommends that the Polygon treasury use its assets to purchase again tokens or burn them.
These modifications might convey POL’s provide mannequin extra consistent with present market expectations and the platform’s ongoing improvement. Tokens resembling BNB
$1,313.82
, Avalanche
$29.86
, and Ethereum
$4,712.77
are cited as examples the place restricted or shrinking provide has helped help worth over time.
@venturefounder said in a publish on X that POL had dropped 46% over the previous 12 months, regardless of the general crypto market, notably Bitcoin
$124,759.18
and Ethereum, performing properly.
Whereas many help the proposal, not everybody agrees with it. Some discussion board members are asking how validator rewards would work with out inflation. Others ponder whether buybacks will be maintained throughout market downturns.
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