People lose track of time. The original rate was definitely not 1%. Why? Because people think they are completing 50 fates per hour when in reality most people average 10. Yes 10. That's one fate completed every 6 minutes. Traveling from one fate to another will average you 2 minutes, factor in a couple minutes of actual fate time, waiting for new fates to pop, etc. - you average around 10-15 per hour tops.

The average person finished the atma phase in 20-30 hours. If you do the math - it roughly comes out to a 5% drop rate. If it were a 1% drop rate, this thing would be averaging 100 hours for everybody.

The new drop rate seems to be around 15-20%.