Ontology Cuts ONG Supply, Locks Liquidity to Build a Sustainable Future

The Ontology community has approved a significant adjustment to the tokenomics of the ONG token, reducing its total supply cap from 1 billion to 800 million and implementing a permanent liquidity lock to bolster long-term sustainability. The proposal, which passed with 117,169,804 votes in favor and zero against during a three-day on-chain vote from October 28 to October 31, 2025, aims to enhance staking incentives, ecosystem development, and supply discipline, as reported by Cryptodaily.

The changes, set to activate with the Ontology MainNet v3.0.0 upgrade on December 1, 2025, include burning 200 million ONG to establish the new cap and locking assets equivalent to 100 million ONG in liquidity pools, as reported by Cryptodaily. Jun Li, founder of Ontology, emphasized that the adjustments create a "clear, sustainable path" for the network, supporting on-chain usage and aligning with the December 1 MainNet upgrade, as reported by Cryptodaily.

Implementation details reveal a rebalanced emission structure, with 80% of new ONG tokens allocated to ONT staking incentives and 20% plus transaction fees directed to ecological liquidity. The release period for ONG emissions will also be extended from 18 to 19 years, maintaining a constant release rate of 1 ONG per second, as reported by Cryptodaily. The liquidity lock is enforced by burning LP tokens generated from ONG-ONT pairs, permanently removing the underlying assets from circulation, as reported by Cryptodaily.

The adjustment addresses concerns over circulating supply and liquidity, which are critical for maintaining the network's appeal in a competitive Web3 landscape. By reducing supply and locking liquidity, Ontology aims to strengthen its position as infrastructure for decentralized identity, privacy, and trust solutions, including ONT ID, ONTO Wallet, and Orange Protocol, as reported by Cryptodaily.

Users and stakers require no action for the upgrade, which will be executed at the node level to avoid disruptions. The community-driven governance process, facilitated through OWallet, underscores Ontology's decentralized ethos, as reported by Cryptodaily.