Polkadot DAO Caps DOT Supply at 2.1 Billion

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Polkadot’s governance community has voted to impose a hard cap on the supply of DOT tokens, setting the limit at 2.1 billion. The decision signals a shift toward lower emissions and greater scarcity for the network’s native asset.

Referendum 1710 Gains Strong Support

In an update shared on X, Polkadot DAO confirmed that Referendum 1710 passed with 81% approval. The new framework introduces a two-year inflation period before emissions taper off. This move ends the previous model of unlimited issuance, which had minted 120 million DOT annually without a cap.

According to Polkadot, supply under the new model would reach about 1.91 billion by 2040, compared to nearly 3.4 billion under the former issuance schedule.

Impact on the Ecosystem and Market

The change reflects Polkadot’s ongoing effort to balance network growth with economic sustainability. Its OpenGov framework, launched in 2023, allows token holders to propose and vote on governance matters, or delegate voting power to others.

Despite the vote, DOT’s price dipped 2.2% in the last 24 hours to $4.32, though it remains nearly 10% higher over the past week. With a market capitalization of $6.6 billion, Polkadot continues to rank among the most influential blockchain networks shaping the future of Web3 governance.

DOT-3.76%
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