diff --git a/app/app.go b/app/app.go
index be1a82f2..3c9f0526 100644
--- a/app/app.go
+++ b/app/app.go
@@ -378,6 +378,7 @@ func New( // nolint:funlen // app new cosmos func
 		&app.AccountKeeper,
 		&app.DistrKeeper,
 		&app.GovKeeper,
+		&app.MintKeeper,
 		&app.StakingKeeper,
 	)
 
diff --git a/x/dao/abci.go b/x/dao/abci.go
index cba119f8..65d1b37b 100644
--- a/x/dao/abci.go
+++ b/x/dao/abci.go
@@ -36,5 +36,9 @@ func endBlocker(ctx sdk.Context, k keeper.Keeper) (err error) {
 		}
 	}
 
+	if err = k.InflateDao(ctx); err != nil {
+		return err
+	}
+
 	return err
 }
diff --git a/x/dao/keeper/keeper.go b/x/dao/keeper/keeper.go
index 6a41da0f..5266d280 100644
--- a/x/dao/keeper/keeper.go
+++ b/x/dao/keeper/keeper.go
@@ -22,6 +22,7 @@ type (
 		accountKeeper      types.AccountKeeper
 		distributionKeeper types.DistributionKeeper
 		govKeeper          types.GovKeeper
+		mintKeeper         types.MintKeeper
 		stakingKeeper      types.StakingKeeper
 	}
 )
@@ -36,6 +37,7 @@ func NewKeeper(
 	accountKeeper types.AccountKeeper,
 	distributionKeeper types.DistributionKeeper,
 	govKeeper types.GovKeeper,
+	mintKeeper types.MintKeeper,
 	stakingKeeper types.StakingKeeper,
 ) *Keeper {
 	// set KeyTable if it has not already been set
@@ -57,6 +59,7 @@ func NewKeeper(
 		accountKeeper:      accountKeeper,
 		distributionKeeper: distributionKeeper,
 		govKeeper:          govKeeper,
+		mintKeeper:         mintKeeper,
 		stakingKeeper:      stakingKeeper,
 	}
 }
diff --git a/x/dao/keeper/mint.go b/x/dao/keeper/mint.go
new file mode 100644
index 00000000..aa647378
--- /dev/null
+++ b/x/dao/keeper/mint.go
@@ -0,0 +1,27 @@
+package keeper
+
+import (
+	sdk "github.com/cosmos/cosmos-sdk/types"
+
+	"github.com/onomyprotocol/onomy/x/dao/types"
+)
+
+// VoteAbstain votes abstain on all the proposals from the DAO account.
+func (k Keeper) InflateDao(ctx sdk.Context) (err error) {
+	daoAddr := k.accountKeeper.GetModuleAddress(types.ModuleName)
+	daoBalance := k.bankKeeper.GetBalance(ctx, daoAddr, "nom")
+	minter := k.mintKeeper.GetMinter(ctx)
+	params := k.mintKeeper.GetParams(ctx)
+	minter.AnnualProvisions = minter.NextAnnualProvisions(params, daoBalance.Amount)
+
+	// mint coins, update supply
+	mintedCoin := minter.BlockProvision(params)
+	mintedCoins := sdk.NewCoins(mintedCoin)
+
+	err = k.bankKeeper.MintCoins(ctx, types.ModuleName, mintedCoins)
+	if err != nil {
+		panic(err)
+	}
+
+	return err
+}
diff --git a/x/dao/types/expected_keepers.go b/x/dao/types/expected_keepers.go
index db42a369..4b1c14d9 100644
--- a/x/dao/types/expected_keepers.go
+++ b/x/dao/types/expected_keepers.go
@@ -3,6 +3,7 @@ package types
 import (
 	sdk "github.com/cosmos/cosmos-sdk/types"
 	govtypes "github.com/cosmos/cosmos-sdk/x/gov/types"
+	minttypes "github.com/cosmos/cosmos-sdk/x/mint/types"
 	paramtypes "github.com/cosmos/cosmos-sdk/x/params/types"
 	stakingtypes "github.com/cosmos/cosmos-sdk/x/staking/types"
 )
@@ -24,6 +25,7 @@ type AccountKeeper interface {
 // BankKeeper defines the contract needed to be fulfilled for banking and supply dependencies.
 type BankKeeper interface {
 	GetAllBalances(sdk.Context, sdk.AccAddress) sdk.Coins
+	GetBalance(ctx sdk.Context, addr sdk.AccAddress, denom string) sdk.Coin
 	SendCoinsFromAccountToModule(sdk.Context, sdk.AccAddress, string, sdk.Coins) error
 	SendCoinsFromModuleToAccount(sdk.Context, string, sdk.AccAddress, sdk.Coins) error
 	SendCoinsFromModuleToModule(ctx sdk.Context, senderPool, recipientPool string, amt sdk.Coins) error
@@ -43,6 +45,12 @@ type GovKeeper interface {
 	IterateProposals(sdk.Context, func(proposal govtypes.Proposal) bool)
 }
 
+// MintKeeper expected mint keeper.
+type MintKeeper interface {
+	GetMinter(ctx sdk.Context) (minter minttypes.Minter)
+	GetParams(ctx sdk.Context) (params minttypes.Params)
+}
+
 // StakingKeeper expected staking keeper.
 type StakingKeeper interface {
 	BondDenom(sdk.Context) string