Osmosis Proposal Seeks to End OSMO Inflation and Pause 51.9 Million Token Vesting

Key Facts

1A new Osmosis proposal aims to end daily OSMO inflation and shift staking rewards to protocol revenue.

2The proposal includes pausing the vesting of approximately 51.9 million OSMO tokens remaining in the vesting module.

A new governance proposal on the Osmosis network aims to end daily OSMO inflation and shift staking rewards to rely entirely on protocol revenue. TokenPost reported that the proposal also includes pausing the distribution of approximately 51.9 million OSMO tokens currently held in the developer vesting module.

The community seeks to transition the economic model from inflationary rewards to a sustainable revenue-based system while tightening the token supply. If approved in the vote scheduled for October 20, 2026, any future release of the paused tokens would require a separate governance decision.