Astar reduces basic prizes to reduce inflation pressure

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Blockchain Astar Network has introduced changes in its tokenomice to reduce inflationary pressure in the ecosystem.

April 18 Astar Network announced that this reduced the basic blockchain awards to 10% from 25% to limiting tokens inflation.

The company announced that the change promotes a more stable annual percentage of percentage (APR) for users as erecting the whole more ideal indicator. The company said that it assures that the awards “remain significant” without causing excessive inflation.

“This change reduces the automatic emission of the token, reducing the overall inflationary pressure while maintaining strong incentives for users to put their ASTs,” wrote Astar Network.

Astar Network emphasizes key changes in its tokenomice. Source: Astar Network

Astar Network implements inflation control mechanisms

Unlike bitcoins, which has a constant total delivery, the Astu token works in a vigorous inflation model without limiting the maximum token supply. As Blockchain works, it emits more tokens, increasing supply.

Lack of fixed power can often cause pressure down to the token value over time. This is especially true if the demand for token does not keep up. To solve this problem, Astar introduces several recent inflation control mechanisms.

In addition to reducing prizes, Astar also began to broadcast tokens in the parameter, which regulates prizes based on total blocked value (TVL), such as a decentralized application. This means that DAPP STAKING APR will become “more predictable” over time, offering stakeers stability.

Astar also introduced a recent minimum token emission threshold of 2.5%to make sure that it will not exceed the sustainable base line. With constant burning of transaction fees, Astar said that he would also contribute to the predictability of rewarding.

According to Astar, the changes have already reduced the annual inflation rate from 4.86% to 4.32%. He also left the total Astu token emitted to the block from 153.95 to 136.67 tokens. This reduces the estimated annual emission of the token by 11%, from 405 million to 360 million.

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Astar Token hits the lowest level of April 7

Astar Network efforts aimed at limiting the inflation of tokens appear when her native token has recently reached the lowest level. Coingecko data show that on April 7 token and by the recent lowest level 0.02 USD. The price is 93.8% lower than the peak three years ago, when it reached $ 0.42 on January 17, 2022.

In December 2024, the token gathered with the rest of the market, reaching the highest level of USD 0.09. Since then, the cryptographic resource has fallen constantly about the value before it reached a recent all time.

1-year Astar Network price chart. Source: Coingecko

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