Kraken, Galaxy flip votes as Solana approves supply cut

Solana validators accepted SGP-0002 with 176.29 million SOL For, 66.19 million SOL Against and 20.63 million SOL Abstain. The public turnout displayed 263.12 million SOL.

Under Solana’s governance rules, abstentions are excluded from the approval denominator. Measured against For plus Against, the For balance represented about 72.7% of decisive stake and cleared the two-thirds threshold by roughly 14.64 million SOL. Measured against the full displayed turnout, For was about 67.0%.

The tally tightened in the final minutes when a Kraken validator reallocated 8.92 million SOL from primarily Against to roughly 90.34% For and 9.66% Against, and a Galaxy-linked validator moved from about 92% Abstain to 58.36% For. Helius chief executive Mert Mumtaz posted on X that “500 calls” helped secure late votes and described the margin as a “literal hair.” Solana’s default model lets delegated stake vote with validators unless delegators override that choice, so passive stake flowed through validators.

SGP-0002 asks the network to double annual disinflation from 15% to 30% while keeping the terminal inflation rate at 1.5%. Solana’s modeling estimates about 18.89 million fewer SOL would be issued over six years under the proposed schedule. That estimate assumes specific bands for staking participation, validator costs and commission levels; the dollar impact will vary with SOL price and other variables.

Acceptance of SGP-0002 is a governance mandate, not an immediate change to issuance. A consensus-level emissions change must be specified, tested and coordinated through SIMD-0550, client updates and a feature-gating process before any altered issuance takes effect. If implementation proceeds and clients converge on consistent arithmetic, the mandate can be converted into a technical change. If implementation stalls or clients do not align, the result will remain a policy signal without immediate effect on supply or staking payouts.

Solana Company publicly opposed SGP-0002 before the vote closed, arguing against changing issuance during the project’s first governance cycle. Staking on company-held SOL accounted for 99.4% of its more than $2.5 million in second-quarter revenue. The vote reflected differing views in the network between participants favoring faster supply reduction and operators concerned about nominal rewards and validator economics.

The vote highlighted inconsistencies in how participation and thresholds were displayed. Mismatches between repository figures, client interfaces and public displays made late validator recasts more consequential to the public perception of the margin.