Osmosis Proposes Burning 55.5 Million OSMO to Pass 100 Million Burned
A new governance proposal would send 55.5 million OSMO from the community pool to a null address, cutting supply by about 7% ahead of an October 30 vote.
Key Takeaways
- Osmosis proposed burning 55.5 million OSMO from the community pool to a null address.
- The burn would take total OSMO burned past 100 million and cut supply by about 7%.
- The on-chain vote is targeted for October 30, 2026.
Osmosis has proposed burning 55.5 million OSMO from its community pool by sending the tokens to a null address. The move would take total OSMO burned past 100 million. The on-chain vote is targeted for October 30.
What the Proposal Does
The proposal, posted October 27 by community contributor JohnnyWyles on the Osmosis forum and promoted by the project's official account, would send 55,500,000 OSMO to the null address osmo1qqqqqqqqqqqqqqqqqqqqqqqqqqqqqqqqmcn030. At current prices the amount is worth about $3.2 million, a figure the proposal itself calls notional.
Why the Community Pool Holds the Tokens
Earlier proposals 957 and 967 redirected most daily OSMO issuance into the community pool instead of distributing it to stakers. Those proposals described the arrangement as a soft burn: the OSMO is out of circulation but still counted in total supply, and a future proposal could release it. The pool now holds about 119.3 million OSMO, and OSMO inflation sits at zero, so it no longer receives new issuance.
The Impact on Supply
If the vote passes, OSMO supply falls by about 7% of the roughly 794 million tokens outstanding. Total burned OSMO, including the 44.4 million already sent to the null address, rises above 100 million, and the community pool retains about 63.8 million OSMO plus its other assets. The proposal argues this brings reported supply more in line with the OSMO actually available.
The Case for the Burn
The proposal lists three goals. It makes the soft burn permanent, so no future proposal can release the tokens. It removes nearly half of the supply overhang the pool represents. And it matches reported supply to the OSMO that is actually available to the market. Osmosis community pools have been used for grants and incentives in the past; the proposal notes that validators and stakers now receive more direct incentives, reducing reliance on pool OSMO for operations.
What Happens Next
Forum discussion is open and the on-chain vote is targeted for October 30. Osmosis is the decentralised exchange at the centre of Cosmos DeFi activity, and the burn would rank among the largest single token removals on the DEX. Markets can be followed on the Osmosis price chart, and OSMO is tracked among DeFi coins on Coinranking.
Frequently Asked Questions
How Much OSMO Is Osmosis Burning?
The proposal sends 55.5 million OSMO from the community pool to a null address, worth about $3.2 million at current prices.
When Is the OSMO Burn Vote?
The on-chain vote is targeted for October 30, 2026, after the proposal was posted on the Osmosis forum on October 27.
What Happens to the Community Pool after the Burn?
The pool retains about 63.8 million OSMO and all of its other assets.
Sources
- Burn Community Pool OSMO to Reach 100 Million Burned · Osmosis forum
- Official Osmosis post about the burn proposal · Osmosis
Prices and market data: Coinranking.