• HSP-029 lowers NEAR's maximum annual issuance rate from 2.5% to 1.6% over 24 months, according to The Block.
• Supply keeps growing under the plan; it slows dilution rather than ending it.
• The Block reports projected staking yield falling from 5.268% to 3.372%, assuming September's staking participation rate; Crypto Briefing gave roughly 5.4% to 3.5% before the vote.
• A governance vote is not the last step: The Block reports validators must adopt the change through a protocol upgrade, with a 90-day grace period after ratification.
• Until the upgrade ships and validators run it, the current 2.5% ceiling remains the operative rule, so model the new rate as scheduled, not in force.

NEAR's House of Stake has passed HSP-029, which lowers the network's maximum annual issuance rate from 2.5% to 1.6% over 24 months, according to The Block. This is a monetary-policy decision rather than a price event: it changes what the network pays for security. The vote is a governance milestone, but it is not the final step, because validators still have to adopt the change before it applies.

What HSP-029 changes

HSP-029 lowers the ceiling on new NEAR issued each year from 2.5% to 1.6%, phased in over 24 months, according to The Block. Crypto Briefing, covering the proposal before the vote, described the same 1.6% target over two years. Supply still grows under the plan, because the rate remains positive. The practical effect is slower dilution for holders and a smaller annual reward pool for the network to distribute to those who secure it.

What the yield figures show

Lower issuance means lower staking rewards. The Block reports staking yield falling from 5.268% to 3.372%, a calculation that assumes September's staking participation rate. Crypto Briefing, reporting before the vote, gave roughly 5.4% to 3.5%. The two outlets differ slightly, and neither source suggests the numbers are guaranteed. Realized yield will depend on how much NEAR is staked over time, so these are projections tied to a snapshot, not outcomes.

Adoption is still pending

Passing the House of Stake vote does not by itself change the protocol. The Block reports that validators must adopt the change through a protocol upgrade, and that a 90-day grace period follows ratification. Until an upgrade ships and validators run it, the existing 2.5% ceiling remains the operative rule. Anyone modelling NEAR staking returns should treat the 1.6% ceiling as scheduled rather than in force, and watch for the client release.

What it signals for infrastructure economics

The vote shows a proof-of-stake network choosing lower dilution over a larger security subsidy. The open question is whether fee and activity revenue can support validator economics as issuance falls. That is checkable on-chain over coming quarters through staking participation, validator counts and stake distribution. The yield projections are forecasts; later network data will show whether they held, and that data, not the proposal, is what should settle the question.