NEAR Cut Token Issuance to 1.6%: What Changed

NEAR Protocol has reduced the annual issuance of the NEAR token from 2.5% to 1.6%, and the vote ended on November 2, 2026. This decision is important for NEAR holders, validators, and anyone following the network’s tokenomics.

The HSP-029 proposal was submitted on October 7, 2026. It was authored by Sal Ternullo from SVRN. According to the NEAR Forum, the initiative was supported by 99.97% of veNEAR voting participants, and turnout was about 62%.

Why is this decision important for NEAR?

It’s simple. Lower issuance means slower growth in the coin supply. If demand does not fall, pressure from new tokens eases.

But NEAR did not press the button immediately. The change is not yet active on-chain. A Security Council review, a 90-day grace period, and technical implementation through validator upgrades still lie ahead.

The HSP-029 plan includes a gradual reduction. In month 6, the rate should be 2.275%, in month 12 it should be 2.05%, in month 18 it should be 1.825%, and by month 24 it should reach 1.6%. This is not a sharp move. It is a slow brake.

What exactly will change in issuance?

The base snapshot of the model was taken at block 216 701 043 on September 22, 2026. At that time, supply stood at 1.3069 billion NEAR. 558.2 million NEAR were staked, or 42.71% of supply.

The network also counted 406 active validators and 459 candidates in the queue. The minimum active stake was 9428 NEAR. This matters because the new issuance can affect node operators’ economics in different ways.

According to the model, daily issuance will fall from 89 517 NEAR to 57 291 NEAR. Over two years, 11.8 million NEAR will not be issued. Over three years, that figure rises to 24.5 million. Over six years, according to the authors’ calculations, supply will be 66.1 million NEAR lower than under the old scenario.

In the HSP-029 model, at a price of $4.30, the number of economically self-sustaining pools falls from 170 to 146.

There is also a downside. The same calculations show that 24 out of roughly 405 pools may lose coverage for machine costs. Validator fee revenue could decline by about 36%. This is no longer an abstract tokenomics debate, but a question of the network’s real costs.

Market reaction

After the vote, NEAR was trading at around $3.83. Over the day, the token fell by about 3.77%. CoinGecko also showed a market capitalization of around $5.03 billion and a #21 ranking among crypto assets.

The price matters here not only on its own. It affects whether validators can operate without losses after the issuance change. If the rate weakens, the lower token reward feels even more painful.

Against this backdrop, a second factor is also interesting. In NEAR Intents, cross-chain volume reached $3.99 billion in October 2026. Since the start of 2026, the figure stood at $28.41 billion. Service fees reached $6.0 million over 30 days and $58.3 million all-time, and part of these fees goes to buybacks. This may partially support the network’s economy even if issuance is reduced.

• NEAR issuance is being reduced from 2.5% to 1.6%.

• The vote ended on November 2, 2026.

• veNEAR support was 99.97%.

• Turnout was about 62%.

• Daily issuance should fall from 89 517 to 57 291 NEAR.

• The model shows minus 11.8 million NEAR over 2 years.

What does this mean for investors?

For long-term NEAR holders, this is more of a positive signal. Lower issuance reduces dilution. But the market rarely looks at just one factor. The token price, network activity, and validator profitability are also important here.

For stakers and node operators, the picture is more complicated. If the reward in NEAR decreases and the price does not offset that with growth, margins may shrink. That is why this vote cannot be read as a simple deflation story. It is also a stress test for the network’s infrastructure.

For Ukrainian users, NEAR should be viewed as an asset with clearer tokenomics, but not without risks. If the network continues to grow in volume, as seen in NEAR Intents, lower issuance may work in favor of holders. If activity slows, the effect will be weaker.

Frequently asked questions

When will NEAR reduce issuance to 1.6%?

At this point, the decision has already been approved by the community, but it is not yet active on-chain. A Security Council review comes next, followed by a 90-day grace period and technical implementation. In public sources, the Security Council veto window is listed until November 16, 2026.

Why does this matter for the NEAR price?

Lower issuance means slower growth in the coin supply. This can reduce pressure on the price if demand holds up. But in the short term, the market also reacts to overall sentiment, trading volumes, and the state of the network.

Will validators be affected?

According to the HSP-029 model, yes, some validators may feel pressure on profitability. At a price of $4.30, the number of economically self-sustaining pools falls from 170 to 146, and fee revenue could decline by about 36%.

For those following NEAR as an investment or looking to quickly convert the asset into hryvnia, it may be useful to sell Bitcoin on Monobank. And the NEAR story once again shows that tokenomics can sometimes matter no less than the price itself.

This material is not financial advice. Cryptocurrency trading involves significant risks. Part of this text was prepared with the help of artificial intelligence based on public sources and reviewed by our editorial team.