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Aleph Zero Testnet 13.4 Release: 520M Max Supply and Inflation Update Go Live!

Oct 8, 2024

AI Summary

Here's your AI summary of Aleph Zero Testnet 13.4 Release: 520M Max Supply and Inflation Update Go Live! on Aleph Zero blog

Top 10 key takeaways:

  1. Testnet 13.4 Release: Aleph Zero has launched Testnet 13.4, focusing on upgrading the network's economic model based on community voting.

  2. 520 Million Max Supply: A maximum supply cap of 520 million AZERO has been introduced to enhance predictability and stability in the network's economy.

  3. Inflation Model Update: The new model features an exponentially decreasing inflation rate, starting with 27 million AZERO minted in the first year, replacing the previous 30 million annual minting.

  4. Community Governance: This marks the first instance of the Aleph Zero community actively shaping the network's economy through governance voting, highlighting increased decentralization.

  5. Long-term Sustainability: The changes aim to improve the network's sustainability and appeal to long-term holders, developers, and institutional users.

  6. Testnet Monitoring: The core team will monitor the Testnet to ensure the new economic model functions as expected, focusing on stability and security.

  7. Mainnet Implementation: The economic model is expected to be implemented on the Mainnet after a successful Testnet phase, with a target release in mid-October.

  8. Decentralization Milestone: The update signifies a new era of community involvement in the network's economic decisions.

  9. Network Attractiveness: The introduction of a supply cap and new inflation mechanism is designed to make the network more attractive for various stakeholders.

  10. Future Updates: Further updates will be provided as the Mainnet launch approaches, contingent on the Testnet's performance.

AI Summary

We are excited to announce the release of Aleph Zero Testnet 13.4, which upgrades the network’s economic model, as voted on by the Aleph Zero community. This release will ensure that the updated economic model can securely be implemented on the Mainnet.

520m supply cap and changes to inflation:

  • Introducing max supply cap – Aleph Zero will now have a maximum supply of 520 million AZERO. This is a major change designed to create more predictability and long-term stability for the network’s economy.
  • Exponentially decreasing inflation – the new inflation model introduces an exponentially decreasing rate of emission, starting with 27 million AZERO minted in the first year after the changes are implemented. This replaces the previous model, which minted 30 million AZERO annually, and is intended to progressively reduce inflationary pressure over time.

Why it matters?

This economic model represents the first time the Aleph Zero community has actively shaped the network’s economy through governance voting, signaling a new era of decentralization and community involvement. The introduction of a supply cap, along with the new inflation mechanism, enhances the network’s overall sustainability and attractiveness for long-term holders, developers, and institutional users alike.

The steps towards Mainnet release

With the economic model now live on the Testnet, the core team will closely monitor its performance and influence over key parts of the network, ensuring that the new features work as expected. The Testnet phase allows us to verify the system’s stability and security before pushing these changes to Mainnet.

We anticipate the economic model to be officially implemented after a short period on the Testnet. Assuming the Testnet review phase is smooth and no critical issues are discovered, the changes are targeted towards mid-October Mainnet release.

Stay tuned for further updates as we approach the Mainnet launch!