The decentralized data annotation platform Sapien uses SPN tokens to incentivize user participation, rewarding quality contributions. However, its token-based incentive model carries risks of inflation rate runaway. High token issuance to attract users could oversupply SPN, devaluing it and reducing user incentives, especially in volatile crypto markets. The whitepaper acknowledges risks like unintended system access but lacks clear measures to control inflation. Adaptive staking tiers aim to stabilize value, yet market volatility and speculative trading could undermine this. Without robust emission controls or burning mechanisms, Sapien risks hyperinflation, eroding trust and participation. Transparent governance and dynamic issuance adjustments are critical to mitigate these risks and ensure long-term sustainability for Sapien’s decentralized ecosystem.