Aptos pushes APT tokenomics overhaul… considers 2.1bn cap and lower staking rewards

YM Lee

Summary

The Aptos Foundation said it will submit a governance proposal to reduce APT supply and shift to a network-activity-linked structure and performance-based tokenomics.
As a key proposal, it said it will set a cap on APT’s total supply at 2.1 billion tokens, and that after the major token unlock cycle ends in October, the annual supply unlock amount will fall by about 60%.
It said it will cut the annual staking reward rate from 5.19% to 2.6%, and reduce overall issuance through measures such as a 10x gas fee increase and permanent lockup of 210 million APT.

The Aptos Foundation plans to propose amendments to its tokenomics to comprehensively overhaul APT’s supply structure.

According to Cointelegraph on the 19th (local time), the Aptos Foundation said on X that it will submit a governance proposal aimed at reducing APT supply and shifting to a model linked to network activity.

The foundation explained, “The Aptos network is transitioning to performance-based tokenomics,” adding that it will “introduce mechanisms tied to transaction activity so that, as applications scale, token burns can exceed issuance.”

The key proposal is to set a hard cap on APT’s total supply at 2.1 billion tokens. APT currently has no maximum issuance limit, and its circulating supply stands at about 1.196 billion tokens. Under the existing structure, new tokens have continued to be issued for ecosystem support, development grants and staking rewards.

The foundation said that when the major four-year token unlock cycle ends on Oct. 10, the annual supply unlock amount will drop by about 60%. With the ecosystem entering a more mature phase—such as BlackRock, Franklin Templeton and Apollo placing hundreds of millions of dollars’ worth of assets on-chain—it said more sustainable tokenomics are needed.

The staking reward structure will also be adjusted. The plan includes cutting the annual staking reward rate from 5.19% to 2.6% while strengthening rewards for long-term staking participants. The aim is to reduce overall issuance while encouraging long-term participation.

A proposal to raise gas fees tenfold was also put forward. Because gas fees are paid in APT and burned, higher fees would translate into a supply-reduction effect. The foundation argued that “even with a 10x increase, stablecoin transfer fees would still be very low at around $0.00014.”

In addition, it proposed permanently locking up 210 million APT for network staking. The foundation described this as having an effect similar to a token burn and said the rewards would be used for foundation operations.

Grant policies will also be revamped on a performance basis. It plans to apply stricter key performance indicators to limit token distributions and, if necessary, will consider a token buyback program or building an APT reserve.

APT