NEAR Protocol Eyes Sovereign Fund to Curb Inflation

The proposal, unveiled on August 3, seeks to mirror the long-term capital preservation strategies used by sovereign wealth funds in Norway and Singapore. Rather than burning incoming revenue to artificially constrain supply, the network would pool assets into a fund denominated in NEAR. This treasury would finance ecosystem essentials, including the Validator Support Program and multiparty computation providers, while potentially allowing the network to move toward a fixed token supply over time.

Governance remains the central hurdle for the project. While the House of Stake is slated to oversee treasury management and risk parameters, specific investment strategies—such as staking, lending, or protocol-owned liquidity—have yet to be defined. Community members have already raised concerns regarding the potential for market volatility and the impact of such a large capital injection on decentralized finance liquidity. Polosukhin has opened a two-week consultation period for stakeholders to weigh in on the structure before any formal implementation steps are drafted.