Hyperliquid Burns $1.3 Billion in Token Buyback Push

Bitwise's chief investment officer, Matt Hougan, says most crypto tokens are undervalued. In an August memo, he cited Hyperliquid as a prime example of how tokens are now trading on revenue rather than just market sentiment.

Hougan highlighted that Hyperliquid has burned $1.3 billion of its HYPE token by routing 99% of its fees into buybacks. This is a significant move, as it demonstrates the protocol's commitment to reducing supply and potentially increasing demand for the token.

According to Hougan, this trend could lead to valuations doubling or more if it continues. He also noted that other protocols such as Uniswap, Aave, and Aptos are following a similar model of burning fees and buying back tokens.