Solana’s accelerated token reduction garners support while the $800,000 burn scheme lags

All three proposals have met quorum, yet the measure to curb new SOL issuance is barely passing, whereas the vote to dramatically boost token burns still falls short of the required two‑thirds majority.

— Solana’s node operators are casting ballots on the network’s inaugural on‑chain governance proposals, which comprise two initiatives aimed at curbing SOL supply expansion.

— The proposal to speed up cuts in new SOL creation enjoys 68.77% backing, just surpassing the two‑thirds requirement, whereas the plan to raise transaction‑fee burns stands at 62.72% and remains insufficient.

— Even upon approval, these proposals would act only as directives, requiring additional technical development before any implementation.

The operators who maintain Solana are voting on two strategies to shrink the future supply of SOL, its native token. The initiative to mint fewer new tokens is barely passing, while the scheme to burn more SOL via transaction fees is lagging.

Solana mints new SOL daily to reward the validators securing the network; thus, both proposals would temper the expansion of total supply — a development beneficial to holders, as reduced issuance lessens dilution of existing tokens.

These ballots constitute Solana’s inaugural on‑chain governance process, granting network operators and stakers a formal say on significant alterations to the protocol.

One proposal would impose fees tied to the computational effort of transactions and eliminate that portion, boosting daily burns from approximately 650 SOL to a range of 7,500‑9,000 SOL.

At current prices, the upper limit equates to roughly $800,000 per day. Decryptnews previously reported that even burning 9,000 SOL daily would still be far below the network’s typical output of about 60,000 new SOL per day.

Each proposal demands one‑third of the total network stake to engage and requires two‑thirds of the participating stake to approve. Abstentions count toward participation, aiding quorum but not contributing to the two‑thirds approval threshold; all three votes have satisfied quorum as of Friday, per governance page data.

<h2>Overview of the proposals</h2>

The so‑called constitution is advancing smoothly. Solana Governance Proposal (SGP)-0001 defines the procedures for major network decisions, specifying participant eligibility, vote weighting, and the support threshold required for passage. It enjoys 95.35% approval with only 0.22% opposition.

SGP-0002 has cleared the threshold, albeit narrowly. It proposes a 30% annual reduction in new SOL issuance, down from 15%. It garners 68.77% support with 47.72% participation.

This adjustment would lower the annual token creation rate to a minimum of 1.5% by around 2029 (instead of 2032), resulting in roughly 18.9 million fewer SOL minted over six years.

SGP-0003, which aims to modify transaction fees and burn a larger amount of SOL, has 62.72% support, 16.52% opposition, and 20.75% abstentions. With 42.51% participation, it falls short of the two‑thirds approval needed.

Its abstention rate is notably higher than on the other proposals, and because abstentions still count as participating stake, they hinder the proposal’s ability to meet the approval threshold.

Consequently, opposition to both supply proposals is public. Solana Company — the Nasdaq‑listed SOL treasury firm operating as HSDT — stated on August 21 that it supports the constitution but opposes the other two, contending that institutions require predictable economic rules for long‑term planning.

Voting was initially slated to conclude Thursday afternoon UTC, but it stayed open into Friday as the final epoch progressed. Solana votes span three epochs — block‑based periods whose precise duration fluctuates with network production rather than a fixed clock.

None of the three votes directly alters the network. An approved SGP serves only as a mandate, with the detailed technical modifications to be drafted and executed separately.

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