# Build Out OSMO "Tail Emissions"

**URL:** <https://forum.osmosis.zone/t/build-out-osmo-tail-emissions/3838>\
**Category:** Proposal Discussion\
**Created:** [August 8, 2025, 6:51pm UTC](https://forum.osmosis.zone/t/build-out-osmo-tail-emissions/3838 "2025-08-08T18:51:41Z")\
**Posts on this page:** 3\
**Page:** 1

<div class="post-metadata">

**Author:** ![Stark604](https://avatars.discourse-cdn.com/v4/letter/s/ecc23a/32.png) [@Stark604](https://forum.osmosis.zone/u/Stark604)\
**Post date:** [August 8, 2025, 6:51pm UTC](https://forum.osmosis.zone/t/build-out-osmo-tail-emissions/3838/1 "2025-08-08T18:51:41Z")

</div>

Given all the changes and discussions around sustainability, I’d like to explore the viability of crafting a “pseudo” tail emissions strategy for Osmosis.

What I mean by this is that, to extend staking/validator rewards indefinitely, a Tail Emissions Pool be created to begin distributing rewards once the minting cap has been reached. This pool would be filled by:

- Excess token minting created by recent tokenomics changes that is currently routed to the Community Pool
- Reallocating/rerouting fees that are currently being burned

A placeholder emissions rate would be used during the setup of the Tail Emissions Pool, with a final rate to be determined by governance once the protocol is ~6-12 months out from exhausting new token minting.

This strategy would actively remove OSMO from circulation long-term without permanently burning it, while building a tokenomic foundation for indefinite protocol sustainability.

---

<div class="post-metadata">

**Author:** ![kill-dill](https://sea2.discourse-cdn.com/flex020/user_avatar/forum.osmosis.zone/kill-dill/32/2052_2.png) [@kill-dill](https://forum.osmosis.zone/u/kill-dill)\
**Post date:** [August 9, 2025, 1:20am UTC](https://forum.osmosis.zone/t/build-out-osmo-tail-emissions/3838/2 "2025-08-09T01:20:03Z")

</div>

It is an important issue you raise, but it has been addressed previously. Stakers already receive a share of taker fees paid out in OSMO. This is a sustainable source of reward for stakers and their validators so that in the future when inflation ends, rewards will still be paid.

If I recall correctly, validators receive their 5% share of their staker’s rewards. There are also other ways to provide sustainable revenue for validators such as a subsidy from top of block auctions.

---

<div class="post-metadata">

**Author:** ![LeonoorsCryptoman](https://sea2.discourse-cdn.com/flex020/user_avatar/forum.osmosis.zone/leonoorscryptoman/32/208_2.png) [@LeonoorsCryptoman](https://forum.osmosis.zone/u/LeonoorsCryptoman)\
**Post date:** [August 16, 2025, 5:05pm UTC](https://forum.osmosis.zone/t/build-out-osmo-tail-emissions/3838/3 "2025-08-16T17:05:15Z")

</div>

Completely correct!

It is already handled via other proposals (use the search function if you want to know more) to find out how it exactly works.