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Economic Sustainability

Subject to change.

Long term economic sustainability is one of the guiding principles of Solana’s economic design. While it is impossible to predict how decentralized economies will develop over time, especially economies with flexible decentralized governances, we can arrange economic components such that, under certain conditions, a sustainable economy may take shape in the long term. In the case of Solana’s network, these components take the form of token issuance (via inflation) and token burning.

The dominant remittances from the Solana mining pool are validator rewards. The disinflationary mechanism is a flat, protocol-specified and adjusted, % of each transaction fee.