Sonic to cancel planned $950K S token issuance for this year

Sonic (S), an EVM-compatible Layer 1 blockchain, announced on X that it has decided not to proceed with its planned additional S token issuance for this year. The project explained that its tokenomics were designed to issue 47.625 million new S tokens annually, worth approximately $950,000 at current prices, to foster ecosystem growth. The first such issuance occurred on June 18 of last year. However, Sonic stated it is now actively working to prevent the token supply from expanding in an inflationary manner and is still reviewing how to fund validator rewards for network security. The decision was made in response to requests from its community and stakeholders. According to CoinMarketCap, S is trading at $0.02096, down 12.01% over the past 24 hours.