Pyth Network Launches $200K Token Buyback to Boost Long-Term Value
Pyth Network has launched a new programme to strengthen its token economy. The project will now use a third of its DAO treasury each month to buy back PYTH tokens on the open stock market. This move follows growing revenue from its data services, which include Pyth Pro, Pyth Core, Entropy, and Express Relay.
The first buyback is expected to reach between $100,000 and $200,000, drawn from a treasury currently holding around $500,000. The initiative aims to create a cycle where adoption boosts revenue, revenue funds stock market purchases, and purchases increase network value over time.
Pyth Network’s revenue streams come from multiple products. Pyth Pro, a subscription service offering millisecond updates across asset classes, recently surpassed $1 million in annualised revenue. The service charges far less than traditional market data providers, making it an attractive option for institutions.
The network’s other products—Core, Entropy, and Express Relay—also contribute to recurring treasury inflows. These funds feed into the PYTH Reserve, which systematically converts revenue into token buybacks. By reinvesting earnings, the DAO aims to reduce supply pressure and support long-term token stability.
The market opportunity for Pyth Network remains substantial. Institutions spend over $50 billion yearly on financial data. Even capturing 1% of this sector could generate $500 million in annual revenue for the project. The buyback programme reflects confidence in this growth potential, with the first tranche setting a precedent for future acquisitions.
Before the PYTH Reserve, no public figures existed for Pyth Pro’s annual income. Now, the structured approach ensures transparency in how revenue translates into stock market demand. The DAO’s treasury allocation—33% monthly—signals a commitment to balancing growth with tokenomics.
The buyback programme will use existing treasury funds to purchase tokens at market rates. This mechanism ties revenue directly to token value, reinforcing the network’s economic model. If adoption continues, the cycle of revenue, stock market purchases, and value appreciation could accelerate further.
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