NEAR Protocol’s Native Token (NEAR) Falls 9.2% as Holders Approve Supply Cut

NEAR Protocol’s native token (NEAR) fell 9.2% over 24 hours as holders approved a plan to reduce its maximum annual issuance rate, a supply change phased in over two years.

Bitcoin (BTC) was down 5.8% over 24 hours, while Ether (ETH) fell 7.8%.

NEAR holders approved proposal HSP-029 with about 99.9% support. It lowers the maximum annual issuance rate from 2.5% to 1.6%. HSP-029 is projected to keep nearly 11.8 million NEAR out of circulation during the two-year phase-in.

Annual issuance is the pace at which a network creates new tokens, often to reward validators.

The vote follows NEAR’s October return to the top 20, when its market capitalization reached about $7.2 billion and NEAR Intents exceeded $31 billion in cumulative volume.