KAIA Token: Circulating Supply Keeps Rising — But Who Benefits?

Something strange is happening — and few seem to be talking about it.

If you’ve been watching KaiaScan.io lately, you’ve probably noticed this too:

The circulating supply of $KAIA keeps going up. Constantly. Block by block.

At launch, it was around 5.8 billion.

Now? Over 6.07 billion, and rising by the hour.

But why? Why does the circulating supply keep growing?

Let’s unpack this.

1. Inflation is built into the protocol — new KAIA tokens are minted at every block.

→ Annual inflation? About 5–5.2%, baked in.

2. Vesting unlocks — large reserves (KEF, KIF, LINE NEXT) are gradually being released.

3. No hard cap — unlike BTC or even some altcoins, there’s no maximum supply for KAIA.

The token supply expands. Continuously. Predictably. But also... silently.

Who benefits from this?

Let’s be honest.

💼 Validators, institutional partners, early stakeholders — they get fresh KAIA through staking, delegation, ecosystem grants.

🫳 Retail investors? They hold and watch their share of the pie slowly shrink.

Even if your number of tokens stays the same, the total supply grows — and your percentage of the network decreases.

This isn’t just inflation. It’s dilution. Quiet, constant dilution.

But wait... is this sustainable?

That’s the question, right?

– What happens when the market realizes that supply is uncapped?

– Who will buy KAIA on the open market when whales get theirs minted automatically?

– Can price ever rise meaningfully, when new tokens keep flooding the pool?

– Is there a long-term plan to cap, burn, or slow down issuance?