Solana has just introduced a new proposal called SIMD-0411 aimed at accelerating the rate of inflation reduction and slowing the rate of SOL supply increase.

According to the current mechanism, SOL inflation gradually decreases over time and is expected to take 6 years to drop from 4.18% to 1.5%. The new proposal aims to double the rate of reduction, achieving a level of 1.5% in just 3 years without changing the staking rewards.

If approved, the SOL supply is expected to increase by less than 3.2% over 6 years, equivalent to a reduction of about 22 million SOL (≈ 2.9 billion USD) compared to the old plan. However, as inflation decreases rapidly, staking yields will decrease over time, estimated to drop from ~6.4% to ~2.4% after 3 years (if the staking rate is ~67%).