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Crypto Prune > News > Crypto > Altcoins > Astar proposes changing the Astrokenomics model to a fixed supply
Altcoins

Astar proposes changing the Astrokenomics model to a fixed supply

10 months ago 4 Min Read

The Astar Network is seeking community feedback on the latest proposals, suggesting a shift from Ast Tokenomics’ dynamic inflation model to a fixed maximum supply model.

On May 16, Astar Network (ASTR) turned its attention to the forum proposal for the official X account. The proposal, posted on the Protocol’s official blog, consisted of a third update in Talknemics, which included changes to the current token supply model.

“The proposal for a forum to explore fixed supply models is currently under discussion. As Astal’s future is rethinking, the voice of the community is being encouraged,” the protocol wrote in its post.

Astar Foundation has introduced Toconomics 3.0

A forum proposal to explore fixed supply models is currently under discussion. As we rethink Astar’s future, community voices are encouraged.

https://t.co/ah5elvwso6

-May 16, 2025, Astar Network (@astarnetwork)

The proposed toconomic update means that new Astri tokens will not be cast over time. Instead, the project employs a supply cap fixed to the token. In other words, there is a maximum number of ASTKENs. This makes the Astar network token more similar to Bitcoin (BTC) with a hard cap of 21 million BTC.

Furthermore, the proposal introduces a step-by-step emission reduction mechanism that maintains dynamic staking incentives despite changes in talknomics. It also maintains Dapp staking rewards and projects 11-14% with maximum APR with bonus rewards at 50% staking ratios within the next two years.

AST price list for past few days, May 16, 2025 | Source: crypto.news

AST price list for past few days, May 16, 2025 | Source: crypto.news

You might like it too: Sony and Astar networks to launch a 100m token campaign to drive ecosystem growth

See also  Conflux (CFX) rises to seven months high in a 100% price rally

At the time of pressing, ASTR rose 2.7% over the past 24 hours. The token is currently trading hands for $0.031. Over the past week, tokens have seen a small profit of 3%. Over the past month, Astar Network tokens have surged 24.7%, pulled alongside the broader crypto rally.

The total supply of native tokens for Astar Network is 8.4 billion and 7.6 billion. Meanwhile, its maximum supply is infinite according to the dynamic inflation model. If the project decides to employ a maximum cap for the token power supply, the token power supply will remain at a fixed number.

With a fixed token supply, ASTRs can make valuable cryptocurrencies scarce and increase their value after hours. Investors and developers may find tokens more attractive due to the certainty and stability of knowing exactly how many tokens exist.

On the other hand, erasing the dynamic inflation model usually eliminates owner staking rewards. However, the project ensured that users would try to maintain their rewards at a 50% staking ratio within the next two years through an exponential decay equation.

“Builder compensation will continue to be sourced from strategic reserves and ensure stability during the transition,” the protocol said.

You might like it too: Astar Network scores 26% in 7 days for Polka Dot’s 5 days, and Polygon Partnership

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