Astar reduces base staking rewards to curb inflation pressure

Blockchain firm Astar Network implemented changes to its tokenomics to reduce inflationary pressures in its ecosystem. 

On April 18, Astar Network announced that it reduced the blockchain’s base staking rewards to 10% from 25% to curb token inflation. 

The company said the change promotes a more stable annual percentage rate (APR) for users as staking inches closer to a more ideal ratio. The firm said this ensures that rewards “remain meaningful” without causing excessive inflation. 

“This change lowers automatic token issuance, reducing overall inflationary pressure while maintaining strong incentives for users to stake their ASTR,” Astar Network wrote. 

Astar Network highlights key changes to its tokenomics. Source: Astar NetworkAstar Network implements inflation-control mechanisms

Unlike Bitcoin, which has a fixed total supply, the ASTR token operates under a dynamic inflation model without a cap on its maximum token supply. As the blockchain operates, it emits more tokens, increasing the supply. 

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