Key Takeaways SGP-0002 passed by 0.334 percentage points. Kraken reversed while JitoSOL holders overrode validators. The vote does not change supply immediately. Activation cuts projected iss
SGP-0002 closed with 67.001% support, narrowly clearing the 66.667% requirement. According to the official Solana announcement, the result gave the network a mandate to pursue faster disinflation.
The final tally included 176.29 million SOL in favor, 66.19 million against and 20.63 million abstaining, Solana Compass reported. Participation reached 60.7% of eligible stake, with 1,326 validators represented.
Solana Validator Governance has concluded.
Results:
✅ SGP-0001: The Solana Constitution ✅ SGP-0002: Double Disinflation ❌ SGP-0003: Resource and Inclusion Fee
— Solana (@solana) August 28, 2026
The result looked very different shortly before voting ended. With about 70 minutes remaining, the proposal was reportedly losing by 58 million SOL after Kraken moved approximately 8.9 million SOL into opposition.
Kraken changed course again during the closing stretch, returning roughly 8.1 million SOL to the supporting side. JitoSOL holders also used Solana’s override mechanism to cast votes separately from the validators managing the underlying stake. The reported vote analysis found that the proposal would have failed without those overrides.
Kraken co-CEO Arjun Sethi summarized the exchange’s final position after the vote: “Custodians should be conduits, not voices.”
SGP-0002 was one of three Solana proposals covering supply, transaction fees and delegated voting rules. Voters approved the Solana Constitution with 86% support but rejected the proposed resource-fee overhaul, which received 53.9% and missed the two-thirds threshold.
SGP-0002 changes how quickly Solana’s inflation rate declines. It does not remove tokens from current holders or reduce the circulating supply on the day of activation.
Solana’s existing schedule reduces the inflation rate by 15% each year until it reaches a long-term floor of 1.5%. Once the approved change is activated, that annual reduction will increase to 30%. The floor itself remains unchanged.
The official proposal estimates that the network would reach 1.5% inflation in approximately 2.8 years. The existing path requires about 5.7 years.
Across six years, the faster schedule would result in approximately 18.9 million fewer SOL being created, leaving projected supply about 2.6% below the previous path. Unlike a token burn, this reduction applies to future issuance. Solana will continue creating new SOL, only at a rate that slows more quickly.
Fewer issued tokens will not translate into an identical reduction in market selling. Some staking rewards are sold to cover costs or realize income, while others are restaked or held. The proposal changes how many tokens become available, not what recipients do with them.
Stakers will receive fewer newly created tokens under the faster schedule, but their holdings will also face less dilution. A lower nominal yield can still leave them with a similar share of the network when total supply is expanding more slowly.
Validator expenses create a harder problem. Server capacity, staffing and maintenance costs remain in place even as inflation-funded rewards decline. Operators that depend heavily on commissions from those rewards could face tighter margins.
The proposal notes that 41% of validators already charge no commission on inflation rewards, limiting the direct effect on that group. Other operators may respond by adjusting commissions, attracting more delegated stake or relying more heavily on transaction fees and maximum extractable value.
SGP-0002 does not rewrite those other revenue sources. Validator commissions, transaction fees, MEV income and the existing reward mechanism remain in place. The first evidence of pressure will come from changes in staking yields, validator commissions and the distribution of stake across operators.
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ECB Board Member Calls for Central Banks to Go OnchainSolana’s governance rules assign delegated stake to the validator’s position by default. That default is not final. A holder can override the validator before or after it votes, or cast a separate vote if the validator remains inactive.
The official governance FAQ describes this as vote sovereignty. Only the portion controlled by the delegator moves; the validator retains the rest of its stake-weighted position.
SGP-0002 showed what that mechanism can do when the margin is thin. A validator or custodian can move millions of SOL with one decision, but active delegators can break away and alter the tally.
That adds a new consideration when selecting a validator. Commission rates and performance still affect staking returns, but the operator’s governance policy now determines where delegated SOL will vote unless the holder intervenes.
The ballot approved a policy direction, not an immediate protocol update. SGP-0002 answers whether Solana should pursue faster disinflation; SIMD-0550 defines how the network will implement it.
Client teams still need to add the change to Solana’s validator software. The network must then coordinate its feature-gate activation and identify the epoch in which the new schedule begins.
Until that activation occurs, the existing 15% annual disinflation rate remains in force. August 28 settled the governance question, but it did not start the new issuance curve.
Operators and staking providers may now face pressure to disclose their voting positions before future ballots open. That gives delegators time to accept the default, override it or move their stake elsewhere.
The issuance change will unfold over several years. The lesson for delegators arrived in a single vote: leaving their stake untouched still assigns its voting power to someone else.
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