# Introduction to Tokenomics V2

In response to the protocol's growth and community feedback, the ExtraFi community voted for and officially approved the ExtraFi Tokenomics V2 in January 2024.

<https://snapshot.org/#/extradao.eth/proposal/0xdc995d9cb93abe822a14c58b5d72ae660dd103e0e31da431b1dd06de0651242c>

ExtraFi Tokenomics V2 aims to enhance `$veEXTRA` staking rewards, reduce inflationary pressure, and improve the protocol along with the `$EXTRA` token flywheel. Additionally, some adjustments have been made, including the `$EXTRA` emission plan.