Between my last proposal (https://kusama.subsquare.io/referenda/596) and this one, an upgrade that was later (unfortunately) “corrected” clearly showed that reducing staking rewards and thus also the inflation rate leads to positive price development, because fewer tokens could be sold. Positive price development is vital for every project, as it not only guarantees its financing but also ensures the attractiveness needed to draw in and retain developers and investors.
Unfortunately, Kusama not only followed the same misguided path as Polkadot in the past (unlimited supply, high inflation, increasing the minimum commission rate), but is still continuing down this path, which—as everyone can see—is leading to increasingly precarious conditions and driving many away from Kusama.
That, my friends, cannot possibly be the goal, and it is a shameful failure. To correct this, I therefore propose that:
- Starting on February 1, 2026, halving will be introduced, reducing the token issuance by 50% every four years (same model as BTC).
- From February 1, 2026, the maximum token supply is set at 21 million. (same model as BTC)
- From February 1, 2026, the minimum commission fee is reduced to 0%.
- All of the above changes are enshrined in JAM.