The issuance of the Cosmos (ATOM) cryptocurrency will decrease thanks to the approval of a proposal by those involved in the governance of the Cosmos Hub network.

The maximum inflation rate of this cryptocurrency, which was previously 14%, became 10% per year. Something that could favor the increase of its price in the market according to the principle of supply and demand, which indicates that a scarce asset increases in value if its demand increases.

The market has taken this development with optimism. ATOM is up 3.30% over the past seven days and is priced at $9.44 at press time

According to the recently approved proposal, the previous inflation rate caused Cosmos Hub to pay an excessive price for network security. Its reduction to 10% would lower this cost while still allowing block validators to continue making profits.

The relevance of the topic was evidenced in the results of the votes, which had the highest participation from the Cosmos community. In the end, the result was 41.1% in favor and 38.5% against.

It is important to mention that the issuance of ATOM is infinite, unlike bitcoin, which has an issuance limit of 21 million coins, and other cryptocurrencies that also have a limit set in their code. So far, more than 376 million ATOM have been issued.