Solana is weighing two proposals that could make its token supply significantly tighter. The interconnected governance measures, SIMD-0550 and SIMD-0553, would together speed up the decline in new SOL issuance and sharply increase how much SOL is burned each day. Documented in Solana's official improvement repository, they represent one of the network's most significant attempts to reshape its monetary policy in recent years.

Validators have begun signaling support this week, and Solana's Double Disinflation proposal is now in the support phase. To advance to a full governance vote, it needs 10 percent of active stake, or roughly 43.27 million SOL. As of the latest figures, it had gathered about 16.93 million SOL in support, reaching 39.1 percent of that threshold, with the support window ending around August 18.

What SIMD-0550 changes

SIMD-0550 targets how fast new SOL enters circulation. Under Solana's existing model, new SOL is issued at a starting rate that declines by 15 percent each year until it reaches a terminal floor of 1.5 percent. The proposal doubles that annual disinflation rate to 30 percent, leaving both the starting point and the 1.5 percent destination unchanged while dramatically compressing the timeline.

The practical effect is substantial. At the current 15 percent rate, Solana reaches its terminal inflation in roughly 5.7 years, around 2032. Under the proposed 30 percent rate, that endpoint arrives in about 2.8 years, by 2029. Modeling in the proposal estimates the change would eliminate approximately 18.9 million SOL in future emissions over a six-year window, worth an estimated 1.36 billion USD to 1.5 billion USD at current prices. Submitted by engineers at infrastructure firm Helius, the change is deliberately simple, activating a single feature gate rather than restructuring the issuance curve. That simplicity is intentional, since earlier, more complex attempts to overhaul emissions, including a proposal rejected in March 2025, failed to secure enough support.

What SIMD-0553 changes

The second proposal, SIMD-0553, restructures transaction fees so that more network activity translates into token burns. Solana currently charges a flat base fee of 5,000 lamports per signature, with half burned and half going to the block-producing validator. That flat charge does not reflect how differently transactions consume network resources. SIMD-0553 introduces resource-based fees, charging transactions according to the resources they actually use, and directing more of that value to burns.

The impact on daily burns is large in relative terms. The change would lift daily burns from around 650 SOL, roughly 47,000 USD at current prices, to between 7,500 and 9,000 SOL, or up to roughly 650,000 USD a day. That is as much as a 14 times increase. Validators are separately gathering support for a governance measure, SGP-0003, that asks the network to pursue this resource-based fee model.

The burn increase in context

Despite the dramatic multiples, the proposals stop well short of making SOL immediately deflationary. Solana currently issues around 60,000 SOL per day through inflation. Even the projected terminal burn of 7,500 to 9,000 SOL per day would remain far below that figure, meaning issuance still vastly outpaces burns. As one visualization of the data showed, even a 14 times burn increase barely dents what Solana issues.

That gap is precisely why the two proposals travel together. SIMD-0550 cuts issuance while SIMD-0553 raises what gets destroyed, and their combined effect is more pronounced than either alone. It is also worth noting that fewer tokens issued does not translate one-to-one into reduced selling pressure, since not every newly issued token is sold, with some rewards remaining staked or held. The measures sit at different stages and would require separate governance, development, and activation processes, and neither is active on the network yet.

The path to a vote

Both proposals must clear a signaling threshold before any binding vote. The combined effort had backing from 24.94 million SOL in stake in one tally, equal to about 5.8 percent of total stake, led heavily by Helius, which supplied the bulk of that support and employs the engineer behind SIMD-0550. To reach the 15 percent threshold required for an official vote by August 18, the proposals need roughly 40 million SOL more in support.

That gate exists by design. The Solana Foundation set the 15 percent threshold in July so the validator set would only vote on questions that genuinely matter, keeping routine technical work out of full governance. The overlap between the proposals' authors and their largest backer has drawn some scrutiny, but the signaling process is meant to test whether broad consensus actually exists.

Why SOL supply matters for onchain gaming

Although these are monetary-policy proposals, their outcome reaches into web3 gaming, where Solana has become one of the busiest chains for onchain games. A large share of play-to-earn titles, gaming tokens, and NFT economies settle on Solana, drawn by its low fees and fast transactions. Changes to SOL's issuance and burn dynamics affect the value of the base asset those game economies are priced against, as well as the staking rewards many players and guilds rely on.

The fee restructuring in SIMD-0553 is especially relevant to games, since resource-based fees would change the economics of high-volume onchain activity, exactly the kind of frequent, small transactions that games generate. If oversized or resource-heavy transactions cost more, studios building on Solana would need to account for that in their designs. At the same time, tighter SOL supply and reduced dilution could strengthen the underlying asset that gaming tokens trade against. For now, the proposals remain in the support phase, and their fate rests on whether validators push them past the August 18 threshold toward a binding vote.