The Hyper Foundation is considering a major move to reduce HYPE token circulation. The proposal involves burning approximately $1 billion worth of HYPE tokens by liquidating the Hyperliquid Assistance Fund, effectively removing these tokens from the market. This deflationary mechanism could impact token economics and supply dynamics for the Hyperliquid ecosystem. Community members and stakeholders are closely watching how this decision might influence HYPE's market value and long-term tokenomics.
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DaoDeveloper
· 12-19 19:46
okay so burning $100m worth of tokens through the fund liquidation... honestly the game-theoretic implications here are kinda wild, ngl
Reply0
MoonWaterDroplets
· 12-18 02:52
Burn one hundred million? Now the show begins
Can burning this much boost the market? Feels doubtful
One hundred million HYPE directly disappears from circulation, deflation is coming
There's something to this if it really happens
Is this move to rescue the market or for another purpose?
The community needs to vote, don’t let a few people decide again
With less supply, the price may not necessarily rise; it depends on the use cases
Everyone is thinking about burning to boost the price, but users and the ecosystem are the real foundation
This rhythm... Is it laying the groundwork for what's coming next?
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GateUser-0717ab66
· 12-18 02:32
Burn 100 million USD worth of tokens? That's a pretty bold move. We'll have to see how they execute it later.
HYPE needs to run well now. This time, it's really about the fundamentals.
Wait, are their treasuries that well-funded? Don't they feel bad about burning so much money?
Deflation is deflation, but the key is still whether someone will step in to buy in.
It's the same old story of token burning. I've seen this kind of thing quite a few times.
But if they can actually follow through, it would definitely benefit the token holders. Just worried it might be all talk.
The Hyper Foundation is considering a major move to reduce HYPE token circulation. The proposal involves burning approximately $1 billion worth of HYPE tokens by liquidating the Hyperliquid Assistance Fund, effectively removing these tokens from the market. This deflationary mechanism could impact token economics and supply dynamics for the Hyperliquid ecosystem. Community members and stakeholders are closely watching how this decision might influence HYPE's market value and long-term tokenomics.