This referendum proposes to update Astar Network's inflation parameters as part of Tokenomics 3.0.
🔧 Purpose of This Referendum
✅ Reduce max yearly inflation from 7% to 5.5%
✅ Remove bonus allocation and redistribute to base and adjustable staker rewards
✅ Activate the emission decay mechanism to enable inflation reduction over time
📊 Parameter Changes
| Parameter | Current | Proposed | Perquintill |
|---|---|---|---|
| Max yearly inflation | 7% | 5.5% | 55,000,000,000,000,000 |
| Treasury allocation | 5% | 5% | 50,000,000,000,000,000 |
| Collator allocation | 3.2% | 3.2% | 32,000,000,000,000,000 |
| dApp reward allocation | 13% | 13% | 130,000,000,000,000,000 |
| Base staker allocation | 10% | 15.8% | 158,000,000,000,000,000 |
| Adjustable staker allocation | 55% | 63% | 630,000,000,000,000,000 |
| Bonus allocation | 13.8% | 0% | 0 |
| Ideal staking rate | 50% | 50% | 500,000,000,000,000,000 |
| Decay rate | 100% (inactive) | 99.999996% | 999,999,960,000,000,000 |
📌 Why This Matters
These changes reduce the maximum yearly emission cap by approximately 129M ASTR (21.4% reduction). Bonus rewards are eliminated, with that allocation moving to base and adjustable staker rewards to maintain competitive staking returns.
The decay rate activation applies a per-block reduction of 0.000004%, enabling the emission decay mechanism that allows supply to converge toward a maximum of approximately 10B ASTR over time.
Combined with Burndrop, these changes tighten Astar's token economics while maintaining sustainable staking incentives.
🔜 Upcoming: dApp Staking Revamp
A second referendum will follow with a runtime upgrade to implement the dApp Staking model revision. Key changes include:
📡 This referendum must be enacted before the next yearly inflation recalculation on March 9, 2026 to apply for the upcoming cycle.
🔗 Full Forum Post & Background: https://forum.astar.network/t/proposal-tokenomics-3-0-dapp-staking-changes/9345/13