$6,M in 2,24 to about $18.7M. The move dem see as long-term structural bullish driver if dem fit execute, though short-term volatility fit happen because TVL low, on‑chain activity slow and sentiment bad. Possible upside catalysts include interest from institutional products (staked-INJ ETF filings) and renewed ecosystem growth, but traders need weigh steady burn/buyback follow-through against liquidity limits and macro pressure.">

Injective IIP-617 double di INJ deflation rate make dem tighten di supply

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Injective (INJ) voters approve IIP-617 — “INJ Supply Squeeze” — wit 99.89% support, wey put tokenomics change wey reduce ongoing INJ issuance and quicken buyback-and-burn methods. Injective talk say about 6.85 million INJ don already burn since mainnet, and the new plan dey meant to "double the rate of deflation," mix lower issuance with faster community buybacks to shrink circulating supply over time. The vote pass as price and network activity dey weak: INJ don drop well over the last 12 months and e dey trade near $4.64 when dem report, while Injective’s TVL don fall from >$60M in 2024 to about $18.7M. The move dem see as long-term structural bullish driver if dem fit execute, though short-term volatility fit happen because TVL low, on‑chain activity slow and sentiment bad. Possible upside catalysts include interest from institutional products (staked-INJ ETF filings) and renewed ecosystem growth, but traders need weigh steady burn/buyback follow-through against liquidity limits and macro pressure.
Bullish
IIP-617 tighten INJ supply by cut issuance and speed up buyback-and-burn, na structural tokenomics change wey dey increase scarcity — classic long-term bullish catalyst for the token if dem fit carry out the execution well. Di proposal pass with strong community support, wey reduce execution risk from governance wahala. But short-term price movement fit still dey volatile and fit remain bearish until on-chain activity, TVL and market sentiment recover. Key risk factors we fit limit di bullish effect: low TVL and liquidity, weak ecosystem activity, failure to maintain higher buybacks, and general crypto market weakness. Upside go higher if institutional flows (e.g., staked-INJ ETFs) or renewed product activity bring back demand; downside remain if burns no dey enough compared to sell pressure. For traders: expect potential medium-to-long-term appreciation under sustained deflationary execution, but manage risk for short-term volatility and limited liquidity.