Polkadot to tighten tokenomics by capping DOT supply at 2.1 billion
Quick Take
- Polkadot DAO has passed a proposal to cap the supply of DOT tokens at 2.1 billion.
- The measure replaces the current unlimited issuance model, which minted 120 million DOT annually without a supply cap.
Polkadot DAO has passed a proposal to cap the supply of DOT tokens at 2.1 billion, signaling lower emissions and greater scarcity going forward.
In an X post on Sunday, Polkadot DAO confirmed that the referendum 1710 had been passed with 81% in favor. The new model introduces a schedule of a two-year token inflation period.
The measure replaces the current unlimited issuance model, which minted 120 million DOT annually without a supply cap.
"By 2040, supply would be ~1.91 Billion under Ref 1710's model vs ~3.4 Billion under the current 120M/year model," Polkadot said in the post.
Polkadot DAO is a community-led governance system behind the Polkadot ecosystem, and its OpenGov framework, launched in 2023, enables referenda where token holder can submit proposals, cast votes, or delegate their voting power.
DOT's price fell 2.2% in the past 24 hours to $4.32, while it was up 9.8% over the past week, according to The Block's price page. It has a market capitalization of $6.6 billion.
Disclaimer: The Block is an independent media outlet that delivers news, research, and data. As of November 2023, Foresight Ventures is a majority investor of The Block. Foresight Ventures invests in other companies in the crypto space. Crypto exchange Bitget is an anchor LP for Foresight Ventures. The Block continues to operate independently to deliver objective, impactful, and timely information about the crypto industry. Here are our current financial disclosures.
© 2025 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
