Overview

Our first inflation update was submitted on 11/19/2020 and went live on 12/3/2020, which lowered both inflation max and min by 5% (to 53% and 41% respectively) and changed the inflation rate change to 24% from 12%. This has resulted in a decrease of ~0.02% per day in the rate of inflation; as of 6/8/2021, actual inflation is currently 47.85% as of 6/24/2021.

Proposal of Changes

Our modeled token supply by 9/25/2021 (12 months after mainnet launch) is supposed to be ~149.3mm AKT and we’re currently projected to exceed that threshold. In order to ensure we follow our deflationary curve as closely as possible and stay true to our economics as our network has matured, we will be proposing our second inflation proposal to adjust the following parameters:

• Inflation Rate Change: from 24% to 100%
• Inflation Max: from 53% to 40%
• Inflation Min: from 41% to 25%

These changes will put us back on track and start to decrease the growth rate of additional supply as deployments and usage continue to grow. These parameter changes are expected to take place in mid July, accounting for 1 week of discussions and 2 weeks for the proposal voting period.