Solana Eyes 1.5% Inflation Target: Can MESA Voting Prevent a Drop Below $100?

    Let's explore how Solana inflation governance could evolve with Galaxy Research's new voting proposal.

    News Room

    Author by

    News Room

    Updated Apr 18, 2025 12:33 PM GMT+0
    Solana Eyes 1.5% Inflation Target: Can MESA Voting Prevent a Drop Below $100?

    Solana may soon see a significant change in how inflation decisions are made. Galaxy Research has proposed a new voting system to replace the rigid yes-or-no structure that has failed to build consensus on lowering Solana inflation. The latest model allows validators to vote across various options, with the outcome reflecting a weighted average. If implemented, it could reshape how governance works on Solana and help solve one of the network’s most pressing economic challenges.

    A New Model for Governance and Inflation Control 

    Galaxy Research’s proposal, called MESA, is designed to fix what many see as a flaw in Solana’s current voting system: binary choices that limit validator input and slow down progress. Rather than forcing a one-size-fits-all decision, MESA allows participants to vote on multiple Solana inflation scenarios, with the final result being a weighted average. This lets the community express broader preferences and avoids repeated failed proposals like the previous SIMD-228.

    The new model aims to strike a balance between flexibility and predictability. It would still maintain a clear long-term target for inflation but use validator input to fine-tune how fast or slow the network reaches that target. The goal isn’t to impose a specific rate but to make the decision-making process more inclusive and aligned with market signals. For Solana, this could lead to more responsive economic policy and greater validator engagement in shaping the protocol’s future. Let’s take a look at the Solana price prediction to see how this impacts the price of Solana.

    Solana Price Prediction for April 18, 2025

    The SOL/USDT 1-hour chart shows price hovering near strong resistance at $136, testing this level multiple times without a confirmed breakout. This could lead to a breakout or a pullback toward immediate support at $124. Further support lies at $108 and $96, providing downside buffers. RSI currently sits at 55.25, indicating moderately bullish momentum but not overbought. Previously, RSI hit the overbought zone around price peaks, while a dip into the oversold region was followed by an upward reversal, showing RSI’s reliability in this trend.

    Chart 1: Analysed by vallijat007, published on TradingView, April 18, 2025

    The MACD indicator presents a neutral stance. Although there was a prior death cross, the MACD line and signal line are now converging above zero, and the histogram is shrinking, reflecting consolidation. A bullish crossover could signal momentum toward a breakout. The next leg up may begin if SOL can break and hold above $136 with strong volume. However, rejection at resistance could pull the price back to test lower supports. Traders should watch for RSI divergence and MACD crossover for clearer direction.

    Solana Inflation Fix Lies in Better Voting, Not Just Lower Numbers

    The Solana inflation debate isn’t just about percentages; it’s about process. Galaxy’s MESA proposal offers a more innovative, more flexible way to govern key economic levers without locking validators into binary traps. If adopted, it could make protocol decisions more accurate, more inclusive, and ultimately more effective. Rather than guessing at the “right” inflation rate, MESA lets the market guide the outcome. For Solana, that could be the difference between stalled progress and a truly adaptive future.

    News Room

    News Room

    Editor

    Newsroom is the editorial team of CoinfoMania, delivering 24/7 crypto news, market insights, and in-depth analysis. With 30+ journalists worldwide, we keep you ahead in the blockchain space.

    Read more about News Room

    Loading more news...