CODE_COLOR: CODE_YELLOW_MAINNET
RELEASE_VERSION: 2.9.0
PROTOCOL_UPGRADE: TRUE
DATABASE_UPGRADE: FALSE
SECURITY_UPGRADE: FALSE
Protocol Changes
This release will reduce the maximum inflation of Near Protocol from 5% to 2.5%.
Protocol Upgrade Voting
This release upgrades the protocol version from 80 to 81.
Voting for protocol version 81 is scheduled to begin on Tuesday, October 28th, 2025, at 01:00:00 UTC.
To prevent any downtime, please upgrade your mainnet node before this time if you support the protocol change included in version 2.9.
If the vote passes by end of the epoch that includes 01:00:00 UTC on Tuesday, October 28th, 2025, the protocol is expected to upgrade to version 81 approximately 7-8 hours after that voting epoch ends.
Conversely, if the vote does not succeed within the designated timeframe, the voting window will remain open for up to an additional 23 days. In this scenario, the protocol upgrade to version 81 is expected to occur in the epoch following the one during which more than 80% of stake has been upgraded. Should voting fail to conclude within 30 days, the release will be invalidated and withdrawn.
Note
This initial halving upgrade is a principles-driven and adaptive approach to maintain sustainability of issuance around the NEAR token, while also laying the foundation for a long-term and more systematic inflation strategy. This upgrade is based on community feedback and an initial vote across the entire NEAR ecosystem. Going forward, House of Stake will play a critical role in the decision-making process around the economic parameters for the NEAR ecosystem.
Our rationale for the upgrade is as follows:
The current 5% rate, originally designed to accelerate early-stage participation, now introduces unnecessary dilution. At the same time, it reduces the incentive for holders to engage in DeFi and other productive activities within the NEAR ecosystem.
The initial community based voting proposed by Hot_DAO has already gathered an overwhelming 91% pro from those who were able to vote. (Many validators operated by exchanges and funds refrained from voting due to compliance reasons.)
There will not be any forking of NEAR Protocol because such an upgrade will not be effective until the threshold has been reached.
Halving Impact: Inflation will be reduced to ca. 2.5%. Staking yield will accordingly change to ~4.75% assuming 50% of the total supply remains staked. This more sustainable inflation model aims to encourage greater on-chain participation in the NEAR ecosystem.
To support this transition, MetaPool, LiNEAR, HOT and Gauntlet have proposed two complementary programs designed to boost returns for the NEAR community for them to continue thriving in this new era of abundance.
- Proposal – HSP-002: Support smaller validators to ensure network decentralization
- Proposal – HSP-003: Increase rewards for veNEAR holders to reward early governance participation