Osmosis: OSMO inflation ends as daily issuance falls to zero - 26 Oct 2026

What happened

Osmosis ended OSMO inflation on 26 Oct 2026, with daily issuance falling from 91,324 tokens to zero. Proposal 1053 passed with 91.1% yes support. Staking rewards now come from protocol revenue instead of newly minted tokens.

Confirmed

Global impact / market context

New token creation diluted existing holders by adding supply. With minting stopped, burns now directly shrink supply with nothing offsetting them. Reward payouts depend on protocol revenue, so staking income may vary, and token holders gain more protection against supply-driven value erosion.

Analyst inference

The vote passing with overwhelming support signals strong holder agreement on ending dilution. Investors valuing scarce supply may view the change favorably, but staking returns now hinge on revenue generation, which means income from fees and other protocol activity, making that income and burn activity key measures of whether the new model sustains rewards.

Analyst inference

What to watch

1. Daily OSMO issuance is zero after falling from 91,324 tokens, and every burned OSMO now reduces supply directly with no new tokens minted during the epoch to offset it. Confirmed
2. Protocol revenue must cover staking rewards, so watch whether revenue streams remain steady enough to keep payouts attractive compared with the old minting-funded model. Analyst inference
3. Track burn activity and staking participation, since higher burns shrink supply while reward levels may influence how many holders keep staking rather than selling. Analyst inference

Evidence

• coinmarketcal.com