Stani Kulechov, founder of Aave, opposes EIP-8361, a proposal nicknamed the « Tapered Issuance Burn » that would gradually burn staking rewards for validators until they are completely eliminated when the staking ratio reaches 50 % of total ETH supply, or approximately 60.25 million ETH. The current staking ratio stands at approximately 34.4 %, representing roughly 41.6 million ETH locked up, a figure projected to exceed 55 % by early 2028. Kulechov argues that changing the rules on validator rewards introduces unpredictability that could discourage institutional investors and undermine the borrowing strategies that power platforms like Aave. Ethereum core developers are scheduled to discuss this proposal on August 7, ahead of the Hegota upgrade.
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