On August 23, Solana began its first formal on-chain vote on three governance proposals — SGP-0001, SGP-0002, and SGP-0003. The vote will run until the end of Epoch 1023, approximately until 5:30 p.m. Moscow time on August 27.
Two of the proposals directly affect the economics of SOL. SGP-0002 proposes doubling the pace of inflation reduction, while SGP-0003 would change the fee structure and increase the amount of SOL burned.
Faster Inflation Decline
SGP-0002 proposes increasing the annual rate of inflation reduction from 15% to 30%. The terminal inflation rate would remain unchanged at 1.5%.
According to the proposal’s authors, this would cut the time needed to reach the terminal rate from approximately 5.7 years to 2.8 years. Over six years, total issuance could be around 18.9 M SOL lower than under the current schedule.
The change would not take effect immediately after the vote. If SGP-0002 passes, the result would give a mandate for the proposal’s technical implementation through the relevant SIMD, followed by activation on the network.
More Fees to Be Burned
SGP-0003 proposes splitting the fee into two parts. The fixed transaction inclusion fee would be set at 2,500 lamports and would go entirely to the block leader. A separate resource fee would be calculated based on the requested resource units and would be burned in full.
According to the authors’ estimates in the technical proposal, at the maximum resource fee rate, the amount of SOL burned could increase from around 650 to 7,500–9,000 SOL per day. This is a model-based estimate that depends on network activity and is not a guaranteed figure after implementation.
SGP-0001 proposes ratifying the Solana Constitution, which formalizes the rules of network governance. In particular, it establishes voting based on delegated stake and allows SOL holders to override the vote of a validator for their delegated stake.
For a proposal to pass, at least one-third of the network’s stake must participate, while at least two-thirds of the participating stake must support it. Abstentions count toward participating stake but do not count as “yes” votes.
Solana Company has announced that it will support the Constitution and oppose both economic proposals. Helius and Jupiter, meanwhile, are among the major supporters of SGP-0002 and SGP-0003.
A positive vote does not mean that the network parameters will change immediately. Instead, it would give a mandate for further technical implementation, after which the changes would still need to go through separate deployment and activation procedures.