Hyperliquid Sees $14.58 Million Boost from USDC Reserves for HYPE Buybacks

The Hyperliquid protocol has received a significant influx of funding for its HYPE buyback program, thanks to a new revenue stream generated by USDC reserves. According to the AQAv2 mechanism, Hyperliquid received a payment of $14.58 million for the first 30-day period, which will be added to the funds used to purchase HYPE.

This new source of funding is separate from transaction fees and is directed towards the Assistance Fund, which is used to buy back HYPE tokens. Under the AQAv2 framework, 90% of the yield generated by USDC reserves is shared with the protocol, and this income is also added to the funds used for buybacks.

The additional income for the buyback fund expands the budget available to purchase HYPE, and diversifies the sources used to fund purchases. With the first payment, the mechanism has begun generating tangible revenue, and the amounts transferred from USDC reserves in subsequent periods will determine how much this new source contributes to buybacks.