Activity on the Solana network has accelerated in recent months, pushing fee revenue and transaction counts higher while validators moved ahead with a change to the chain’s token issuance schedule.

Data cited by The Block showed Solana’s seven-day average fee revenue reached about 9,200 SOL as of Aug. 27, up more than 80% from three months earlier. Over the same period, governance participants approved SGP-0002, a proposal that speeds up the reduction in new SOL issuance.

On-chain usage reaches new highs

Solana’s recent network data pointed to stronger demand for block space. Non-vote transactions, which exclude validator voting activity, rose to a record 191 million on a seven-day basis. That was more than double the 88 million recorded a year earlier.

Another sign of heavier usage came from Jito tips, the extra payments users make to prioritize transactions. Average daily Jito tips over the past week increased 26% from a week earlier to 2,073 SOL, indicating that users were paying more to have transactions processed sooner.

Governance proposal clears the threshold

On Aug. 28, Solana validators approved SGP-0002, also known as “Double Disinflation.” The measure received just over 67% support, narrowly above the 66.67% threshold required to pass.

A total of 1,326 validators participated in the vote, producing turnout of 60.7%. According to the report, that was the highest participation rate ever recorded in Solana’s on-chain governance.

What changes under the new issuance plan

The proposal doubles the annual pace of inflation reduction to 30% from 15%. Based on the previous issuance schedule, that is projected to reduce new SOL supply by about 18.9 million tokens over the next six years.

The change is aimed at slowing the growth of circulating supply, but it also affects validator economics. With fewer new tokens being issued, staking rewards are expected to fall as well.

Likely impact on validators and users

The current staking reward rate of about 5.25% is forecast to decline to roughly 2.25% by the third year under the new schedule. That may pressure smaller independent validators, which tend to rely more heavily on inflation-based staking rewards than on transaction-fee income.

For ordinary users, the direct effect is expected to be limited. The proposal changes Solana’s issuance structure and validator compensation, and transaction speeds and user-paid fees are not expected to change materially as a result.

Source: en.bloomingbit.io