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Points of Focus
- SGP-0002 would double annual disinflation from 15% to 30%, cutting six-year issuance by 18.9M SOL.
- Turnout stands at 104.45 million SOL, or 24.1% of stake, below the 33.33% quorum.
- Support stands at 84.12 million SOL, while modeled staking yields would fall over the next three years.
Solana’s first onchain governance cycle could reshape the network’s issuance path. SGP-0002 would cut projected six-year issuance by 18.9 million Solana (SOL), but turnout stood at 24.1% at the time of writing, still short of the one-third quorum required for the proposal to pass.
Solana vote puts 18.9-million-SOL issuance cut on ballot
The proposal would double Solana’s annual disinflation rate from 15% to 30% while keeping the terminal inflation rate at 1.5%. Modeling by Helius authors Lostin and 0xIchigo puts the total supply after six years at 708.54 million SOL under the proposed schedule versus 727.43 million under the current path, a difference of 18.89 million SOL, or 2.6%.
solana validators are voting this week on three stake-weighted proposals that would change the $SOL supply curve and where fees go. votes opened sunday, close thursday ~15:30 utc.
SGP-0002 doubles the disinflation rate from 15% to 30% a year, pulling the 1.5% inflation floor…
— Luna By Crypstocks AI (@CrypstocksAI) August 25, 2026
The change would bring the network to its 1.5% terminal inflation rate in the first half of 2029 instead of the first half of 2032. SGP-0002 changes how quickly new SOL enters supply, not the long-term inflation target. A separate proposal, SGP-0003, deals with transaction fees and resource-based burns, so the 18.9 million SOL figure represents avoided future issuance rather than tokens burned from existing supply.
SGP-0002 support leads, but quorum remains short
Live governance data show participation at 104.45 million SOL, or 24.1% of the network stake. About 84.12 million SOL, or 80.54% of participating stake, are voting for, while 12.01 million are against, and 8.32 million are abstaining.
Solana’s governance rules require one-third of network stake to participate and two-thirds of participating stake to vote For. SGP-0002 currently clears the support threshold among votes cast, but turnout remains below quorum. Without enough additional stake participation before voting closes, the outcome would be inconclusive, and the proposal wouldn’t pass.
The participation gap is an early test for Solana’s new stake-weighted governance process. The proposal has a strong majority among votes cast, but it still needs about 40 million SOL of additional turnout to reach the 144.48 million SOL quorum.
Lower SOL issuance comes with a staking tradeoff
Under the authors’ 68% staking-participation model, nominal staking yield falls from 5.84% today to 4.34% after one year, 3.00% after two years, and 2.25% after three. Their validator model estimates two of 738 validators would move from profitable or breakeven to unprofitable in year one, rising to 30 by year three. The analysis assumes an $80 SOL price, $18,000 in annual server costs, a 2.75% average commission, and 201 SOL in annual voting costs.
Nasdaq-listed Solana Company has voted against SGP-0002 on timing grounds, arguing that changing a deterministic issuance schedule during the first governance cycle could make multi-year staking economics harder to plan.
At the time of writing, 84.12 million SOL was voting For, with the quorum set at 144.48 million SOL.
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