Hyperliquid Assistance Fund Buys 48 Million HYPE for $1.36 Billion

Hyperliquid Assistance Fund has cumulatively purchased more than 48 million HYPE tokens for $1.36 billion. The current market value of those holdings is about $3.95 billion as of Tuesday.

The assistance fund primarily acquires HYPE through continuous open-market buybacks funded by Hyperliquid trading fee revenue. Notably, Hyperliquid’s perpetual and spot trading fees are directed to the Assistance Fund, which converts them into HYPE purchases for returning value to token holders.

Tokens acquired through the mechanism are treated as burned, permanently removing them from circulating and total supply. HYPE now has a total supply of 955.30 million.

Hyperliquid activated its Aligned Quote Asset v2 (AQAv2) framework to buy back and burn HYPE tokens from generated USDC reserve yields. It received its first payment of nearly $14.58 million in USDC routed to the fund in early October.

This increased buyback funding beyond regular trading activity alone, boosting additional capital available to stablecoin balances held on the platform. This adds hundreds of millions of dollars in annual capacity depending on reserve size and yields.

As CoinGape reported earlier, Hyperliquid launched a manual borrows feature. This allowed the use of HYPE and Bitcoin as collateral to borrow assets such as USDC and USDT.

HYPE Price as Hyperliquid Assistance Fund Buys Reach Over 48 Million

HYPE price was trading around $81.20, down nearly 5% over the last 24 hours amid broader crypto market volatility. The 24-hour low and high stood at $79.52 and $85.73, respectively.

Furthermore, trading volume of Hyperliquid (HYPE) is $931,562,652 in the last 24 hours, representing a more than 59% increase in 24 hours, signaling a recent rise in market activity.

The rising Hyperliquid Assistance Fund’s activity underscores the protocol’s revenue-driven tokenomics on its high-performance L1 perpetual futures platform. The open-market purchases and burns aimed at increasing supply reduction.

The derivatives market showed selling in the last few hours, as per CoinGlass data. At the time of writing, the total HYPE futures open interest dropped 2% to $3.17 in an hour. The 24-hour HYPE futures OI was down 2.87%. However, futures OI on Binance and OKX climbed by more than 2.88% and 3.84%, respectively.

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