Synthetix founder Kain Warwick has submitted a proposal to turn off SNX’s high yield returns and cap its supply at 300 million tokens.
According to Warwick, the just proposed Synthetix Improvement Proposal (SIP) will end SNX баанын at 300 million tokens in ten weeks.
He continued that the “inflation was designed to bootstrap the network, and it has done the job” since the network now gets fees from atomic swaps. Hence, the move to turn it off.
The SIP 276 proposal titled “Turn off the money printer” will cap the token supply and make any decisions on token supply a meta-governance one. This means that future changes in SNX supply will require the unanimous decision of the Spartan council.
Presently, SNX supply is around 293 million. So there will still be ten more fee periods where SNX would be minted and distributed until the supply reaches 300 million.
In recent months, Synthetix’s revenue has increased significantly, due to protocols such as кыйшык сызык жана 1inch using it for atomic swaps.
In June, Synthetix made over a million in daily fees. While the daily fees have now dropped, it is still over $150k on average, and the trading volume this month on the network is currently over $1.2 billion.
Source: https://beincrypto.com/synthetix-founder-proposes-ending-high-yield-returns-capping-supply/