MultiversX Foundation (@multiversxfndn): Following the annual reduction of the inflation rate, it's important to consider what this change brings for network participants and the broader EGLD…

Following the annual reduction of the inflation rate, it's important to consider what this change brings for network participants and the broader EGLD economy. #1 Staking Incentives MultiversX uses an inflation model that rewards stakers by generating new EGLD tokens each epoch. Inflation started at 10.84% in 2020 and decreases annually, currently at 5.13%. With a lower issuance rate, staking participants can expect a slight decrease in APRs. #2 Token Dynamics With fewer new tokens entering into circulation, the ecosystem gradually reaches a point where demand more closely matches available supply. Quote [@multiversxfndn](https://www.twitter.com/multiversxfndn/status/1950175203893399653) > Due to entering its fifth 'halving-like' event, MultiversX's annual inflation will drop to ~5.13% over the coming year.