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    Optimism Supply growth rate: Can OP token recover from 20% inflation ‘error’?

    By Alara Jordan

    09:53, 14 October 2022

    Layer-2 scaling solution Optimism
    Optimism Governance took to Twitter to ensure users that they'll be updating the contract logic to the intended 2% – Photo: Shutterstock

    The Layer-2 scaling solution Optimism, which is built on top of the Ethereum blockchain, has had to apologise after announcing that the total supply of its token would inflate at a rate of 20% per year, instead of the correct figure, 2%. 

    Optimism Governance took to Twitter to ensure users that it will be updating the contract logic to the intended 2%.

    It said: “There was, and will be, zero impact to the planned token supply as a result of this fix. Inflation of OP does not begin until next year. No new tokens have been minted or moved, and no tokens were ever at risk.”

    Optimism’s website claims its a fast, stable, and scalable layer-2 blockchain “built by Ethereum developers, for Ethereum developers.” It says it aims to be a minimal extension to existing Ethereum software in order to tackle the speed of transactions, one of the most pressing issues surrounding cryptocurrencies and high-volume blockchains.

    In September 2022 the popular NFT marketplace OpenSea announced that it would add Optimism on its platform in a bid to support new collections and projects on its platform.

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    The blockchain tweeted: “OpenSea has officially dropped anchor on Optimism! The best part: knowing OpenSea activity on Optimism funds a sustainable future for Ethereum.”

    Optimism’s token $OP dipped in price on 10 October, dropping from around the $0.82 mark to a low of $0.74, according to data from CoinMarketCap. 

    At the time of writing, the price of $OP was trading around $0.74, up 8.17% in the previous 24 hours.

    Related topics

    #Ethereum #Cryptocurrency

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