Crypto’s Billion-Dollar Secret 🤫

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They say money doesn’t grow on trees, but apparently, it does in the crypto sphere. A rather substantial $1.4 billion has been… redirected, shall we say, into token buybacks in this, the year of our Lord 2025. And as usual, a select few-a mere ten projects-have cornered nearly all the fun, gobbling up 92% of the proceeds. Is it a sign of health? A desperate attempt to appear appealing? One wonders…

Hyperliquid, a protocol of some renown in the perpetual exchange domain, leads this peculiar parade with roughly $645 million. Nearly half the total! One imagines the accountants are working overtime, meticulously counting all the digital pennies. 💸

Token Buybacks Accelerate In 2025

The latest missive from CoinGecko reveals that 28 crypto endeavors have been engaging in this rather… enthusiastic spending spree. The tempo quickened in the latter half of the year, with July witnessing an astonishing 85% surge in buyback expenditures. A veritable frenzy! It seems logic and restraint have taken a holiday.

“One must always be wary of spikes,” noted Yuqian Lim, a research analyst at CoinGecko, with the detached air of an academic observing a particularly curious insect. “September’s figures were artificially inflated by LayerZero’s rather flamboyant announcement, the timing of which remains… unclear.” Excluding that one-off extravagance, September merely saw $168.45 million in transactions. A paltry sum, wouldn’t you say?

By mid-October, spending had already swelled to $88.81 million. A trajectory suggesting a fourth consecutive month exceeding the first-half average. An unrelenting tide of capital, eh? It’s all rather… determined.

On average, a cool $145.93 million has been deployed monthly, hinting at a burgeoning affection for the practice across the board. Is this sustainable? A question for future generations, perhaps. 🤔

Hyperliquid Dominates Token Buybacks This Year

Ah, Hyperliquid. The clear frontrunner, the alpha, the undisputed champion of repurchases. They’ve squandered-er, *spent*-over $644.64 million through their Assistance Fund. A sum equal to the combined efforts of the *next nine* contenders. A display of… enthusiasm, to put it mildly.

This accounts for 46% of *all* buyback activity in 2025. They’ve managed to acquire 21.36 million HYPE tokens, roughly 2.1% of the total supply. Perhaps they’re building a fortress of HYPE? One can only speculate.

Earlier estimates from OAK Research suggest they might repurchase up to 13% annually. Such ambition! Such a relentless pursuit of… something.

LayerZero followed with $150 million, securing 5% of its supply. Pump.fun invested $138 million, covering 3% – a respectable effort, though dwarfed by Hyperliquid’s colossal spending.

Ms. Lim, ever the pragmatist, offered this observation: “Pump.fun, while trailing Hyperliquid in overall expenditure, has actually bought back a larger percentage of its supply – 3.0%. A fascinating detail for those keeping score.” Because, naturally, we’re all keeping score. 🙄

Raydium rounded out the competition with $100 million and a burn. Further down the list, we find Sky Protocol, Jupiter, Ethena, Rollbit, Bonk, and Aave. A veritable menagerie of protocols, all vying for attention-and employing the same… fascinating tactic.

GMX, in a demonstration of efficiency, managed to retire 12.9% of its supply with a comparatively modest $20.86 million. A clever use of resources, wouldn’t you say? Sometimes, subtlety is key.

The report further elucidates: “Excluding those who foolishly burn tokens, the remaining 23 projects have, on average, removed 1.9% of their supply. And a depressingly large 14 projects haven’t even managed a full 1.0%.” A rather sobering thought, isn’t it?

Token Buybacks: What’s Driving the Surge?

The analysts at DWF Labs attribute this resurgence to a confluence of profitability, governance advancements, and the perpetually fickle psychology of the market. Profitable projects, it seems, enjoy the luxury of giving money back to the community – or, at least, appearing to do so.

“Buybacks,” they declare, “have become essential for rewarding loyal users, shrinking the supply, and creating a self-reinforcing cycle of positivity that benefits all involved.” Such optimism! One almost feels compelled to invest…almost.

As decentralized protocols achieve sustainability, they’re channelling revenue into buybacks, fostering trust and value. Disciplined treasury management – Aave’s “Aavenomics”, for instance – is also playing a role. It all sounds rather…organized.

Investors, scarred by the volatility of 2024, are now drawn to models predicated on scarcity. Meanwhile, projects like Hyperliquid and Raydium have automated the process, making it transparent and continuous. A marvel of modern engineering, really.

And so, buybacks have become a defining characteristic of the decentralized economy of 2025. A trend, a spectacle, a…well, it’s something. 🧐

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2025-10-17 09:23