Cere Network has announced a significant shift in its economic model, transitioning from an inflationary system to one driven by real-world utility. This change, detailed here, marks a pivotal moment for the network as it aims to create a sustainable, fixed-supply ecosystem.

On April 16, 2025, Cere Network will officially turn off inflation for its $CERE tokens. By April 30, any excess tokens will be burned, capping the total supply at 10 billion tokens. This move aligns with Cere’s commitment to reward participants based on utility rather than inflationary incentives.

Transitioning to Utility-Driven Rewards

Inflationary models are commonly used by Proof-of-Stake (PoS) networks to incentivize validators during early development stages. However, as networks mature, the focus shifts to transaction fees that reflect real-world utility. Cere Network is among the few blockchain networks to achieve this transition.

The Cere team has been working on tokenizing real-world cloud data compute using its decentralized infrastructure. This effort has reached a milestone with businesses now using data clouds powered by the Cere protocol, utilizing $CERE tokens for data compute payments. This development taps into the vast $1 trillion cloud compute market.

Key Milestones and Future Plans

Several key milestones have been outlined in Cere Network’s transition plan:

• April 16, 2025: Activation of the Fee Handler pallet to collect and distribute on-chain fees, replacing inflation-based rewards.
• April 30, 2025: Token burn event to maintain the 10 billion supply cap.
• May 1, 2025: Generation of the first verifiable data compute receipt on the testnet.
• June 2025: Capture and distribution of real yield from protocol utility on the mainnet.
• July 2025: Onboarding of the first enterprise partner, with license fees contributing to the rewards pool.

With these changes, Cere Network is set to align its protocol incentives with real-world usage and enterprise adoption, positioning itself for sustainable growth in the blockchain space.

Why This Matters: Impact, Industry Trends & Expert Insights

Cere Network’s transition to a non-inflationary model marks a significant shift in its economic strategy, aiming to stabilize its token supply and enhance real-world utility.

Recent industry reports indicate a broader trend towards utility-driven blockchain rewards in 2025. This aligns with Cere Network’s move to replace inflationary incentives with real-world utility, reflecting a shift in focus towards sustainable and practical blockchain applications.

Recent industry research suggests that non-inflationary blockchain models offer a stable economic framework by maintaining a fixed token supply. This supports Cere Network’s strategy to cap its token supply at 10 billion, ensuring long-term value preservation and network incentives without inflationary dilution.

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