Ethereum’s EIP-8361 introduces a tapered burn mechanism for staking rewards to limit network inflation. According to the proposal, consensus-layer yield would decline from approximately 2.6% to 1.2%, implemented gradually over 18 months. When roughly 50% of total ETH supply is staked, the burn would offset the entire consensus reward for a performing validator. Priority transaction fees and MEV rewards would remain unchanged. The proposal, still in draft form, is under review for Ethereum’s planned Hegotá upgrade.
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