Polygon is increasing its staking rewards for POL holders through the implementation of the PIP-92 governance proposal. Starting October 1, the annualized gross reward rate will rise to approximately 7.7%, significantly higher than the current 3% baseline.
The initiative will distribute 27.33 million POL tokens derived from previously accumulated network priority fees. These funds originate from the earlier PIP-85 proposal and will be injected into the existing staking mechanism on the PoS network without minting new tokens.
During the two-month period, the CHECKPOINT_REWARD parameter will increase from 25,213 POL to 64,500 POL per checkpoint. This adjustment represents a 2.6x rise in payouts for validators and delegators, with rewards set to return to baseline levels on December 1.
The network also recently completed a burn of 100 million POL tokens on September 24, reducing the total supply by 1%. Meanwhile, the community is considering a follow-up proposal, PIP-93, which aims to automate the distribution of network fees to stakers.
