The inflation is currently excessive and this turns off a lot of potential new entrants

A good solution could be to have a fixed supply and then use as inflation a certain percentage of whatever is left

I suggest using as total maximum supply 2.1 billions because it's a funny number and it's related to Bitcoin

Let's assume at the moment we have 1.4 billion tokens, that means that we have 700 million left to use as rewards 

I think a good number for inflation could be 10% of whatever is left, so on the first year the staking rewards distributed will be 70 millions (10% of what is left) and then on the next year because only 630 millions will be left only 63 million will be distributed, etc.

So we never run out of tokens because the amount distributed always get less and less but we have an absolute total cap and this probably make polkadot more appealing for a lot of people

Details: https://x.com/giottodf/status/1783009866631811341

The inflation is currently excessive and this turns off a lot of potential new entrants

A good solution could be to have a fixed supply and then use as inflation a certain percentage of whatever is left

I suggest using as total maximum supply 2.1 billions because it's a funny number and it's related to Bitcoin

Let's assume at the moment we have 1.4 billion tokens, that means that we have 700 million left to use as rewards 

I think a good number for inflation could be 10% of whatever is left, so on the first year the staking rewards distributed will be 70 millions (10% of what is left) and then on the next year because only 630 millions will be left only 63 million will be distributed, etc.

So we never run out of tokens because the amount distributed always get less and less but we have an absolute total cap and this probably make polkadot more appealing for a lot of people

Reducing inflation

- Problem Statement: Excessive inflation discourages new entrants.
- Significance: Inflation reduction can attract more participants.
- Proposed Solution: Implement a fixed supply with a decreasing inflation rate.
- Expected Outcomes: Increased appeal for Polkadot with a total maximum supply of 2.1 billion tokens.

#706 Reducing inflation