Hyperliquid generates $14.6 million for HYPE buybacks in 30 days
Hyperliquid has introduced a new revenue stream to support its HYPE token buybacks, generating $14.58 million in USDC over the first 30 days through the AQAv2 mechanism. This framework directs a portion of the yield from USDC reserves towards the protocol's buyback efforts, separate from transaction fees.
The AQAv2 mechanism allocates approximately 90% of the yield generated by USDC reserves to Hyperliquid after deducting costs. This income is then added to the Assistance Fund, which is used to purchase HYPE tokens, diversifying the funding sources beyond transaction fees.
The first payment of $14.58 million highlights the potential scale of this new revenue stream. By combining reserve yields with transaction fees, Hyperliquid aims to expand the budget available for HYPE buybacks, though the long-term impact will depend on future payments from USDC reserves.