Solana Launches SIMD-0411 Upgrade to Speed Up SOL Supply Reduction

Solana proposal

Solana has introduced a new proposal called SIMD-0411 that aims to slow the growth of SOL’s supply much faster.

The plan doubles the speed of supply reduction, helping Solana reach its long-term target in three years instead of six. If approved, SOL’s inflation would fall to 1.5% much sooner, making the network’s token economy more stable.

The proposal won’t change the staking rewards, which will remain the same. It will only slow the growth of SOL’s total supply, reducing it by 3.2% over 6 years or approximately 22.3 million fewer SOL than expected under the current plan. Right now, yields are about 6.41%, and estimates suggest they may drop to around 2.42% in 3 years if validator participation stays at 67%.

The foundation’s proposal still needs community approval, and the outcome depends on the validator and other stakeholders, so support is not guaranteed. If approved, SIMD-0411 would significantly change Solana’s token structure, with the effects becoming visible as the accelerated disinflation schedule takes hold.

Solana Stabilizes Amid Market Volatility and New Network Developments

SOL’s price follows the overall cryptocurrency market and is currently trading at $126.62. Over the past 30 days, its price has dropped by 33.74%, similar to other major digital assets.

Despite this recent volatility, Solana’s market value appears to be stabilizing, with strong trading activity as investors show interest in new network developments and the foundation’s proposal, which could shape Solana’s future.

This investor’s interest is also reflected in SOL-related spot ETFs in the United States. In recent weeks, companies such as Bitwise, Grayscale, Fidelity, and VanEck have launched products, and 21Shares introduced its TSOL  ETF on the CBOE on November 19.

About Author

Charles Kibue

About Author

Charles Kibue

Charles Kibue

Charles is a crypto journalist with years of hands-on experience in the blockchain world. He has a talent for turning complex crypto news into simple, clear stories. As a contributor to Coinnews and InsideBitcoins, Charles keeps readers up to date with accurate and easy-to-understand insights on the latest trends, tech, and market moves.
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