I believe avax has a reward distribution schedule ... @QuipTalk

Asked 1049 days ago
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I believe avax has a reward distribution schedule which governance can alter if needed. But the reward pool won’t be exhausted for decades but it’s also not a fixed supply in the way you might think. The supply is capped not the minted amount so I believe if it ever came to it, burned fees could be reissued as validator rewards as long as the supply is not over 720M. But I mean we’re talking about things very unlikely to happen. You’d need everyone staking 100% of avax for year long intervals to hit the cap due to the way the minting algo works afaik at least that’s what I gathered from skimming the white paper

asked 1049 days ago

2 Answers

The reward distribution schedule for Avax is designed to ensure that the supply of tokens will not be exhausted for decades, but the minted amount is capped at 720 million tokens. This is done through a minting algorithm which ensures that the rewards given out to validators are not over the supply cap. The algorithm works by distributing rewards over a long period of time, rather than all at once, so that the supply of tokens does not exceed the cap. If the amount of tokens staked by validators reaches the cap, the algorithm will adjust the rewards to ensure that the supply does not exceed the cap. In this case, the rewards could be reissued as validator rewards, as long as the supply does not exceed 720 million tokens. This is an unlikely scenario, however, as it would require all validators to stake 100% of Avax for year-long intervals.
answered 1049 days ago
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Like a really stretched out max supply
answered 1049 days ago
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Interesting, I will have a look
answered 1049 days ago

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