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Solana validators and stakers are voting on two governance proposals that could reduce projected SOL issuance and sharply increase transaction-fee burns, with voting scheduled to close August 27.
SGP-0002 would reduce projected emissions by an estimated 18.9 million SOL over six years, while SGP-0003 could lift daily fee burns from roughly 650 SOL to between 7,500 and 9,000 at full deployment.
SGP-0002 Targets 18.9M Fewer SOL Emissions Over Six Years
SGP-0002, based on SIMD-0550, proposes doubling Solana’s annual inflation reduction rate from 15% to 30% until issuance reaches its 1.5% terminal rate.
Under the proposal’s modeling, Solana would reach that floor in the first half of 2029 instead of the first half of 2032. Total supply after six years would be about 708.5 million SOL, compared with roughly 727.4 million under the current schedule.
The proposal’s original modeling valued the 18.9 million SOL reduction in projected emissions at about $1.51 billion.
SGP-0003 Could Raise Daily SOL Burns to 7,500–9,000
SGP-0003, tied to SIMD-0553, would replace Solana’s flat transaction-fee structure with fees based on the resources consumed by each transaction.
Its modeling estimates daily SOL burns could eventually rise to between 7,500 and 9,000 tokens, compared with roughly 650 currently.
Unlike SGP-0002, the proposal would not directly reduce protocol issuance. It would increase the amount of existing SOL removed from circulation through transaction fees.
August 27 Vote Requires One-Third Stake Quorum
Voting is scheduled to close around 15:30 UTC on August 27, although the precise timing can shift with Solana epochs.
Both proposals require participation from at least one-third of eligible stake. Earlier voting data showed participation below that threshold even as most participating stake supported the changes.
Approval would establish governance support but would not activate either proposal immediately. Developers would still need to complete implementation work and coordinate client releases before the issuance or fee changes could take effect.
