In a recent vote, Solana network validators decided to change the distribution of their priority fees. On May 27th, they approved the SIMD-0096 proposal, which allocates 100% of priority fees to the validators themselves, changing the previous model that divided 50% for burning tokens and 50% for validators. This change aims to resolve inefficiencies in the current system and align incentives to ensure network security and efficiency.

With 77% of votes in favor, the proposal also seeks to mitigate parallel agreements between transaction presenters and block producers. Proponents of the measure argue that such agreements could compromise network security. Important validators such as Everstake, Jito, Helius, Stakehaus, Leapfrog, Bonk, Solend and Pico.sol have shown support for the new distribution.

On the other hand, validators such as Step Finance, Triton, GREED, Solana Compass, Shinobu, Orangefin, AG, Pumpkin Pull and Edgevana took a stance against the proposal. Hanko Bolseiro of Estaca Bandito, one of the critics, expressed concern about the impact of eliminating the token burning mechanism. “While increasing fees may benefit validators in the short term, removing flaring could impact the long-term health of the network and suppress the price of SOL,” warned Bolseiro.

Anatoly Yakovenko, co-founder of Solana, defended the change, explaining that the current system doubled the priority fee paid by users to overcome tips, which were entirely allocated to validators. He described the priority rate burning process as a “bug in the system.”

Furthermore, Stakewiz’s Laine estimated that the new measure could result in a 4.6% increase in Solana’s emissions, returning to levels seen a year ago. Laine highlighted that SIMD-0096 is part of a larger plan to improve the distribution of block rewards, with other proposals such as SIMD-0123 also being developed.

Although voting is complete, implementation of SIMD-0096 may take several months as neither the current Solana Mainnet nor upcoming updates support the change immediately. This delay will allow for further discussions and the development of additional proposals such as SIMD-0123, which aims to improve reward distribution, and SIMD-0109, which proposes a native tipping mechanism.

The decision to redistribute 100% of priority fees among validators reflects the diverse opinions within the Solana ecosystem and signals a period of intense debate about the future of the network, especially at a time of growing interest in the project following the recent appreciation of the SOL token.


The views and opinions expressed by the author, or anyone mentioned in this article, are for informational purposes only and do not constitute financial, investment or other advice. Investing or trading cryptocurrencies carries a risk of financial loss.


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