Ronin co-founder Jihoz announces that Ronin's economic model adjustment will cancel passive staking rewards and shift to token-weighted governance

Odaily reported that Ronin has released an economic model adjustment plan. As the network is expected to transition to Layer2 by the end of March, passive staking rewards and the original validator system will be cancelled. Instead, a "Proof of Allocation" mechanism will be adopted, providing targeted incentives to builders who make actual contributions to the ecosystem.

The announcement also stated that the Ronin Treasury will strengthen its financial position by increasing RoninMarket trading commissions, sequencer revenues, and new income sources such as ecosystem applications and game tokens. In terms of governance, control of the treasury will shift from validators to a voting mechanism based on RON token weight, which will be used to review buybacks, investments, and DeFi-related activities.