BlockBeats news, on August 4, NEAR co-founder and NEAR Foundation CEO Illia Polosukhin published a proposal to establish a NEAR sovereign fund, funded by existing and future protocol treasuries, as well as current and future protocol revenues, and managed through parameters set by governance to generate returns denominated in NEAR.
According to the proposal, the fund can initially be seeded with the protocol treasury, currently consisting of approximately 30 million NEAR. Protocol revenues, within ranges determined by governance, will flow into the fund and be converted into NEAR; a portion of these proceeds will support validator incentives, MPC service providers, and other ecosystem public goods. Representatives from House of Stake may also participate and share in the returns through the existing delegation mechanism.
If the initial rollout is successful, NEAR can gradually transfer additional protocol revenues and a portion of token emissions into the fund, reducing real inflation while continuing to reward core validators and stakers. In the long term, the fund could cover all network security and public goods costs, paving the way for NEAR to transition to a fixed supply.
This proposal is currently only under discussion and not a binding decision. Illia plans to gather feedback from validators, token holders, and community members over the next two weeks before evaluating whether to proceed with establishing the fund.