No. Rewards are not newly minted. They are sourced from the reserve of NXPC accumulated via Fission (Redeeming NXPC for NFTs).
When users spend NXPC to acquire items (Fission), that NXPC is temporarily locked. Fusion releases this locked NXPC back into circulation as users return items to the Item Pool. This cycle allows Fission and Fusion to work together, maintaining a balanced item supply based on demand.