Catenaa, Wednesday, January 28, 2026- Injective, the layer-1 blockchain for finance, has introduced the INJ Supply Squeeze, a protocol update designed to permanently double the rate of INJ token deflation.
The update tightens issuance while complementing Injective’s existing Community BuyBack mechanism, strengthening long-term supply contraction.
Approximately 6.85 million INJ has already been removed from circulation through prior burns, and the new framework accelerates net supply reduction at the protocol level.
Recurring on-chain buybacks continue monthly, linking ecosystem usage to token value growth.
The INJ Supply Squeeze positions deflation as a core principle of Injective’s monetary design, enhancing INJ’s role as the network’s economic anchor.
Co-founder Eric Chen described the update as a decisive step in reinforcing scarcity and aligning token dynamics with long-term ecosystem expansion.
Injective’s ecosystem supports both decentralized and traditional finance applications, offering institutional-grade assets, plug-and-play modules, and Web3 financial infrastructure.
The network has processed over 1 billion on-chain transactions and is backed by investors including Binance, Jump Crypto, Pantera, and Mark Cuban.
The platform continues to focus on combining economic design, security, and sustainability to support financial applications, now with a more aggressive deflationary model for its native token.
