The EOS token has a supply of around 1 billion. When EOS started, the inflation was 5%, with 4% funneling into a savings account and 1% for Block producer rewards.
Without a way to decide who should receive the funds from savings, the EOS community voted to burn them and eventually shut off the 4% inflation.
With the acceptance of ⅔ + 1 Block producers vote, Yves La Rose spearheaded the formation of the EOS Network Foundation with Zack Gall and Dafeng Guo as the “Core” members in 2021. Yves proposed an inflation increase from 1% to 3% to fund projects building on EOS. 1% of the inflation went to BPs and 2% to EOS projects.
For more information, read more about EOS Network Foundation.
Author: Jesse Jaffe
Editor: Randall Roland
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