Initia Foundation has announced a new governance proposal called "Inflation Adjustment and Staking Withdrawal Subsidy Plan" aimed at addressing the unusually high INIT inflation due to misconfiguration since the network launched on April 24th. The main content of the proposal:
+ Adjustment of the INIT inflation rate:
The current annual INIT issuance rate of 5% of the total INIT supply will be adjusted to 5% of the amount of INIT tokens staked in the year, equivalent to approximately 1.25% of the total INIT supply per year.
This helps bring the inflation rate back to the original expectations and ensures sustainable development for the Initia ecosystem.
+ Staking withdrawal subsidy plan:
The proposal for the staking withdrawal subsidy plan is divided into two phases, aimed at supporting users affected by Proposal 39.
Subsidy Group A: For users who have executed the unstaking operation during the period from May 20th to May 23rd (from the time of the announcement of Proposal 39 to the announcement of the new proposal), but canceled the withdrawal order and continued staking before the new proposal is implemented (expected on June 2nd). These users will be reimbursed for the staking rewards lost due to the incident.
