nolus

Prop 163: Signaling Proposal: Revamping NLS Inflation Model

Summary

This proposal suggests a revision of the NLS token inflation model to enhance long-term sustainability and align token emissions with the ecosystem's growth trajectory. The proposed adjustment smoothens the emission curve, with a gradual increase in token emissions over the next 8.5 years, as opposed to the current model's rapid decline.

Key Changes:

  • Emission Curve Adjustment: Transition from a steep initial decline in emissions to a more gradual increase over time.

  • Stabilized Inflation Rate: The new model projects an inflation variance within 3.1% to 4.3%, reducing excessive token dilution and promoting long-term value retention.

  • Unchanged Staking Rewards Pool: Approximately 100 million NLS tokens (out of the total 150 million allocated for staking rewards) will still be distributed under the revised model.

Impact: The proposed adjustment is designed to foster long-term network sustainability, optimize NLS distribution, and better align token emissions with the ecosystem’s maturity.

Voting: By voting "YES" on this proposal, you agree to the revised inflation curve being implemented through a subsequent blockchain software upgrade.

For detailed insights and a comprehensive overview, please refer to the full article on Medium: Revamping Nolus Chain Inflation for Long-Term Growth