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What is the annual Lisk inflation rate?

The initial distribution during the ICO was 100,000,000 LSK. Since the network went live May 24th, 101 delegates are securing the Lisk network and receiving forging rewards for their service. With every new block created, 5 new LSK will be added to the supply. Every 3,000,000 blocks (~1 year) this reward is reduced by 1 LSK, ending at 1 LSK per block where it stays like that forever. The forging rewards are equally distributed among all 101 delegates. On top of this, delegates receive transaction fees according to the transactions that were made in the specific block they forged. By implementing this mechanism, Lisk creates an incentive to run a delegate and secure the network, an essential part of our consensus algorithm.

Written by Lisk - Updated Oct 16