title_body: How is inflation offsetting staking rewards?
upvoted_answer: Each epoch .22 % of the remaining pool are distributed as rewards (therefore .22 % of a slowly declining pool) . So there will be a smooth reduction of inflation. This is unlike Bitcoin where inflation rate only adjusts every four years (when it gets cut in half). Although I have not done the math, I've heard that the .22 % rate was chosen so that the rate of inflation will effectively be the same as Bitcoin (i.e. four years from now it will be  about half what it is today.)