[ACP-256]: Enhance AVAX Economic Sustainability by Gradually Red…

[yy00shi]

…ucing Staking EmissionsThis proposal outlines a strategy to enhance the long-term economic sustainability and security of the Avalanche Network by gradually reducing AVAX staking rewards. We propose a phased reduction of the maximum staking yield over an 12-month period, ultimately decreasing new emissions from staking by approximately 50%.

[michaelkaplan13]

@yy00shi thanks for your proposal and interest.

I think this is probably best to have in the discussions sections (either in this repo, or on other mediums) because it is still needs more specific details on the proposed staking emissions curve. The existing staking emmissions rate calculations are implemented here, and an example calculator to test it out for the mainnet configuration can be found here.

Notably, the staking rewards depend on MaxConsumptionRate, MinConsumptionRate, MintingPeriod, SupplyCap, in addition to the staking duration, staking amount, and the current supply at the time the staking period begins. Only reducing the maximum staking rewards rate isn't a complete proposal, because an entire new emissions curve would need to be implemented.

I think this PR should likely be closed until more discussion is had to reach a more complete specification with support from others in the community.