Foresight News reported that according to the Aptos governance page, community member Moon Shiesty submitted a proposal for AIP-119, suggesting a monthly reduction of 1% in the pledged annualized yield for the next three months, to a final rate of approximately 3.79%. This proposal aims to serve as a preliminary attempt to reconstruct the Aptos economic model and is planned to be gradually implemented over six months to assess its potential impact. The proposal argues that the current~7% pledge yield is too high, reducing capital efficiency, and encourages communities to explore more risky or costly opportunities such as re pledging, DePIN infrastructure, MEV, and DeFi rewards. Although reducing pledge rewards may decrease the incentive to hold APTs, the proposal suggests that lower inflation and new reward mechanisms are expected to offset the impact. The proposal points out that this may have an impact on small validators, and suggests considering supporting validators with less than 3 million APTs through community staking programs, and discussing more efficient long-term incentive methods. The proposal is expected to be reviewed by the community and foundation in the next four weeks, and submitted to the mainnet for voting in the fifth week.
