Venice Token Reduces Annual Emissions to Improve Supply-Demand Balance

Venice Token (VVV) will cut annual token emissions from 8 million to 6 million, a 25% reduction starting 10 February 2026.

This change aims to reduce inflation and structural sell pressure from validators and liquidity programs, potentially supporting stronger price performance if network demand remains stable or increases.

The reduction is intended to have a significant impact on the token's economics. By lowering the rate at which new tokens are introduced, the measure aims to reduce sell pressure from validators and liquidity programs, potentially supporting price stability.

If network usage and demand for VVV remain stable or increase, the reduced issuance can improve the token's supply-demand balance. This is a key factor in supporting stronger price performance over the medium term, as historically observed in similar market conditions.

What is the significance of reducing token emissions?

Reducing token emissions is a strategic move often employed to manage supply and demand dynamics. For Venice Token, the 25% reduction in emissions aims to create a more favorable economic environment for the token. By decreasing the supply of new tokens entering the market, the team hopes to reduce inflation and lower the structural sell pressure that typically arises from validators and liquidity programs.