Date Announced for Halving Token Inflation in Popular Altcoin: Founder Made a Statement

Astar (ASTR) Founder Sota Watanabe recently announced that the company will implement the second version of its token economy next week. This update will reduce inflation by almost half and increase the burn rate.

Watanabe said, “dApp staking v3 is coming next week. This means that the second version of tokenomics will also be deployed soon. “We will reduce inflation by almost half and increase the burn rate,” he said.

According to the statement, Astar’s Tokenomics 2.0 version will offer a sustainable token allocation structure and network fees, as well as a lower inflation rate.

According to the statement on the official website, dApp Staking, Astar’s unique mechanism, cryptocurrency It financially incentivizes its developers and builds a strong relationship between developers, stakers, and dApp users.

While developers earn rewards for developing their projects and attracting backers, stakers also earn by supporting their favorite dApps.

While the core mechanism of dApp Staking remains the same with the update, the new version will bring several improvements to address challenges and flaws uncovered internally and by the community in the initial protocol design:

• Scalable Rewards: Recognizing the limit of how many dApps can be hosted due to limited rewards, the goal is to create a system that increases the number of dApps supported as the value of the network increases.
• Limit on Rewards: Each dApp will have a maximum limit on the rewards it can earn to ensure fair distribution.
• Support for Newly Launched dApps: New dApps joining the staking protocol will not have to immediately compete with the most popular ones for significant rewards, but healthy competition will still be encouraged. For this purpose, a tier-based reward distribution system will be introduced.

*This is not investment advice.