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Solana community narrowly approves double disinflation proposal in dramatic governance vote

  • The Solana community approved the Double Disinflation proposal with 67% support, narrowly clearing the two-thirds majority required for passage.
  • The proposal doubles Solana’s annual disinflation rate from 15% to 30%, speeding the network’s path to its 1.5% inflation floor.
  • Major validators, including Kraken, Galaxy Digital and Drift protocol, flipped votes and helped push SGP-0002 across the approval threshold.

The Solana (SOL) community on Friday approved a proposal to accelerate the reduction of SOL token issuance.

Solana community passes double disinflation proposal with 67% support

The measure, known as SGP-0002 or Double Disinflation, secured 67% support among participating stakes, narrowly clearing the two-thirds majority required for passage.

Voting concluded on Friday with 176.26 million SOL in favor, while approximately 25.16% voted against the proposal and 7.84% abstained. Overall participation reached roughly 60.7% of the eligible stake, well above the one-third quorum required.

The approved proposal is expected to reduce projected SOL issuance by an estimated 18.9 million tokens over six years, equivalent to roughly 2.6% of the supply under the previous schedule. Solana's existing 1.5% terminal inflation rate will remain unchanged.

Under Solana's current model, the network's inflation rate declines by 15% annually. SGP-0002 doubles the disinflation rate to 30%, allowing Solana to reach its long-term inflation floor in approximately 2.8 years instead of 5.7 years.

Last-minute vote shift pushes proposal through

The vote remained below the required approval threshold until the final minutes, when several large stakeholders shifted their positions.

Kraken's validator initially voted against the proposal, then reversed course as the deadline approached. Galaxy-linked validators, along with the Drift protocol, also shifted their stake toward approval in the closing stages.

Helius founder Mert was among the figures who mobilized support during the final hours of the vote. He said he made hundreds of outreach efforts as the proposal struggled to secure enough backing.

“After 500 calls in the past few hours, we got all the votes in the last seconds and passed the disinflation proposal by a literal hair,” Mert wrote in a Friday X post.

Several other community members voiced support, saying faster disinflation could strengthen SOL's long-term scarcity while preserving a predictable monetary framework.

The decision was part of Solana's first network-wide governance exercise, which included two other proposals.

SGP-0001, known as the Solana Constitution, established foundational rules for future governance, including proposal and voting procedures, participation requirements, vote weighting and approval thresholds. The measure passed with 95.35% support and just 0.22% opposition.

Meanwhile, SGP-0003, the Resource and Inclusion Fee proposal, failed to secure the required two-thirds majority. The proposal sought to replace Solana's flat base-fee structure with a 2,500-lamport inclusion fee and a separate resource-based charge, with the protocol burning the resource-based portion.

SOL is trading at $104, down 4.6% in the past 24 hours at the time of writing.

Author

Michael Ebiekutan

With a deep passion for web3 technology, he's collaborated with industry-leading brands like Mara, ITAK, and FXStreet in delivering groundbreaking reports on web3's transformative potential across diverse sectors. In addition to

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