Polkadot resets DOT supply cap at 2.1 billion

Polkadot has passed a proposal to cap the supply of DOT tokens at 2.1 billion, which suggests lower emissions and greater scarcity moving ￰1￱ company revealed that the initiative follows the approval of the referendum 1710 with 81% in ￰2￱ the time of publication, only 1.6 billion DOT exist, accounting for only 76% of the eventual ￰3￱ referendum 1710 replaced the current unlimited issuance model, which only minted 120 million DOT annually without a supply ￰4￱ schedules a two-year inflation period for DOT tokens ￰0￱ According to the new ￰5￱ tokens are scheduled for a two-year token inflation ￰6￱ firm also said new DOT issuances will step down every 2 years starting from Pi Day, March 14, ￰7￱ director of The Kus, the top news source for the Polkadot ecosystem, Jay Chrawnna, revealed that the date was important because it was near Bitcoin’s ￰8￱ acknowledged that DOT will step down every two years and will be coordinated with Bitcoin’s halving every other ￰9￱ forecasts that there will be approximately 1.91 billion DOT by 2040 under Ref 1710’s model, compared to 3.4 billion under the current 120M per year ￰10￱ firm also expects to reach the 2.1B market cap around the year ￰11￱ company maintained that the model is focused on scarcity, enhancing predictability for investors, and strengthening long-term alignment across the ecosystem.

Polkdadot’s OpenGrov framework enables referenda where token holders can submit proposals, cast votes, or delegate voting ￰12￱ the new model, Polkadot proposes three schedules for reducing inflationary pressure, including one option to immediately cut emissions by more than half before easing ￰13￱ other options include applying sharper early reductions followed by a gradual decline through the next ￰14￱ Poland DAO OpenGov said the company is pleased to vote in favor, while simultaneously voting against other proposals regarding changes to the DOT ￰15￱ company said it considers introducing a fixed supply as beneficial for Polkadot’s future and for setting it back on the right ￰16￱ firm added that it views the proposal positively because it will enforce a more prudent approach to spending DOT ￰17￱ also believes that the proposal makes the revenues DOT users can generate more realistic, thus making the DOT token significantly more valuable and robust in the long ￰18￱ initiative comes as co-founder Gavin Wood returns as CEO of Parity Technologies, the blockchain network’s development ￰19￱ also framed the cap as part of a broader effort to prepare Polkadot for its 2.0 upgrade later this ￰20￱ initiative aims to reduce developer expenses while pushing throughput to new heights with creatures like Agile Coretime and Elastic ￰21￱ the time of publication, DOT had dropped by nearly 5% to $4.18 following the announcement of capping the token’s ￰22￱ the dip, the digital asset has surged by 4.12% in the last 7 days and increased by more than 6.65% in the past 30 ￰23￱ seeks to connect institutional investors using blockchain infrastructure As previously reported by Cryptopolitan, the company aims to strengthen its position against rivals like Ethereum through incentives such as Polkadot Capital ￰24￱ firm launched the project on August 19, which is designed to connect institutional investors with Polkadot’s blockchain ￰25￱ initiative aims to help institutions explore crypto-related opportunities in areas like asset management, banking, venture capital, and ￰26￱ crypto company said it created Polkadot Capital Group in response to rising institutional demand for digital assets and improving regulatory ￰27￱ project’s leader, David Sedacca, said the team is already pursuing partnerships with asset managers, brokers, and allocators.

On-chain data shows that Polkadot’s trading volume over the past 24 hours is $235.3 million, representing a 51.5% decrease from the day before. Polkadot’s open interest has also dropped by 2.35% to $605 million, while its derivatives volume fell by 43% to $446.5 ￰28￱ $50 free to trade crypto when you sign up to Bybit now