This command is accessible via Main Menu > Transform while in selection/transform mode, or through the pop-up menu when in node editing mode.
The Reduce Nodes Number tool removes redundant nodes from selected objects based on the specified "Simplicity" parameter. This function is primarily designed to smooth embroidery lettering characterized by distorted edges or an excessive number of nodes, which can be difficult to manage during manual node-by-node editing.
Left: An edge with a high concentration of nodes. Right: The same edge after reduction, maintaining the original shape with significantly fewer nodes.