Flow: Fee-based issuance cuts monthly FLOW issuance - 27 Jul 2026

Flow says its latest upgrade now issues roughly 171,000 fewer FLOW each month. Fees were recalibrated against 3.39 million mainnet transactions, rising 2-4x to reflect execution cost, while rewards are paid from fees before new FLOW is issued.Lower issuance improves the network's supply economics by reducing the amount created through routine rewards. Funding rewards from fees also links validator compensation more closely to network usage, making the reward system less dependent on new issuance.The change raises the cost paid per transaction, so its benefit depends partly on whether fee revenue can support rewards without discouraging activity. The upgrade establishes fee availability, but it does not by itself demonstrate broader adoption or a resulting market effect.With the most recent upgrade, Flow is now issuing ~171,000 fewer FLOW every month.Fees were refit against 3.39M real mainnet transactions and rose 2-4x to match true execution cost. Rewards are sustainably paid from fees before any new FLOW is issued.Read the blog/FLIP 🧵