According to PANews, Polkadot's 706th referendum is currently underway, with the proposal aiming to reduce inflation based on a new algorithm and targeting a fixed supply of 2.1 billion DOT. As of now, the proposal is predominantly opposed.

The referendum is a part of Polkadot's governance system, where changes to the network are proposed and voted on by the community. The current proposal aims to curb inflation by implementing a new algorithm. This algorithm is designed to adjust the supply of DOT, Polkadot's native cryptocurrency, with a target of a fixed supply of 2.1 billion DOT.

However, the proposal has been met with significant opposition. The majority of votes cast so far have been against the proposal. The reasons for this opposition are not specified, but it indicates a lack of consensus within the Polkadot community regarding the proposed changes to the network's economic model.

The outcome of the referendum will have significant implications for the future of Polkadot's economic model and the value of the DOT cryptocurrency. If the proposal is accepted, it could lead to a decrease in inflation and potentially increase the value of DOT. Conversely, if the proposal is rejected, it could maintain the status quo or lead to further discussions and proposals on how to manage inflation within the Polkadot network.