How Does the Change in Issuance Rate post-PoS Transition Affect the ‘Carry’ Cost of Holding the Underlying Asset?

A PoS transition often drastically reduces the network's new coin issuance (inflation) and can even make the asset deflationary. A lower or negative issuance rate reduces the 'negative carry' cost of holding the asset, or may even create a 'positive carry' if staking rewards are high.

This makes the asset more attractive to hold and can positively affect its valuation.