NEAR Governance Approves Major Supply Cut – But Token Slides 7%
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NEAR Protocol’s governance approved a tokenomics overhaul that cuts projected supply by 4.36% over six years and lowers staking returns, yet the NEAR token fell 7% following the decision. The change is designed to reduce long-term dilution, but the market reaction suggests holders are weighing the supply reduction against weaker staking incentives. The vote makes NEAR one of the larger Layer 1 networks to formally tighten issuance through governance rather than a hard-coded schedule. Traders will watch whether the selloff extends or reverses as staking yields reset and validators adjust to the new reward structure.
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