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Ethereum developers propose EIP-8361 to reduce staking rewards as more ETH is staked

Protocol Fundamentals
04 Aug 2026
Coingape
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Ethereum developers propose EIP-8361 to reduce staking rewards as more ETH is staked

Ethereum developers have submitted EIP-8361, a proposal to gradually reduce validator rewards by burning part of the staking rewards as more ETH is staked. The mechanism aims to remove incentives once about half of Ethereum's supply is staked, with the burn rate increasing until rewards reach zero at around 60.25 million ETH staked. The proposal includes an 18-month transition period to adjust validator yields smoothly and is now open for community review before potential network adoption.

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