Ethereum Researchers Propose Ending Staking Issuance With 50% ETH Supply Threshold
TL;DR
- Ethereum researchers introduced EIP-8361, a proposal that would gradually burn validator rewards as staking participation grows.
- The mechanism could eliminate new ETH issuance when around 60.25 million ETH are staked, representing nearly half of supply.
- The draft aims to adjust Ethereum’s monetary policy while preserving validator incentives and long-term network security.
Ethereum researchers have introduced EIP-8361, a draft proposal that could reshape how Ethereum manages staking rewards by gradually reducing issuance as more ETH enters the validator system.
The proposal, known as Tapered Issuance Burn, suggests burning a growing portion of validator rewards until new ETH issuance reaches zero when approximately 60.25 million ETH are actively staked, a level expected to represent around 50% of Ethereum’s current supply.
The initiative was submitted by researchers including Jérôme de Tychey, Justin Drake, dapplion, pintail, pa7x1 and Ladislaus von Daniels. The proposal remains under discussion as a Core EIP and requires further review before any potential adoption.
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