🚀 Hyperliquid ($HYPE) Makes a Bold Move – ~$1B in Tokens Out of Play!
The Hyper Foundation has initiated a governance vote that, if approved, will formalize around 37 million HYPE tokens (~$1B) from the Assistance Fund as permanently out of circulation.
💥 What’s happening:
The tokens are already on an address without a private key – practically inaccessible.
Once the vote passes, they will be officially recognized as “burned” in the protocol’s supply metrics.
This is not a classic on-chain burn, but the effect on circulating and total supply will be the same.
✅ Pros:
Reduces circulating supply → potentially deflationary impact.
Increases transparency and trust for investors and analysts.
Confirms Hyperliquid’s long-term strategy to protect the value of $HYPE.
⚠️ Cons / Risks:
The outcome depends on the validators’ vote results.
The market might expect a direct technical burn → potential for confusion.
This is not a new mechanism, but a formalization of tokens that are already inaccessible.
💡 Conclusion:
Hyperliquid clearly demonstrates that it is focused on long-term value for $HYPE holders, not short-term dilution. Formalizing ~37 million tokens as out of circulation is a strong signal of a deflationary strategy, protecting holders and increasing the protocol’s transparency.
#hype #CryptoNewss #CryptoMarkets
The Hyper Foundation has initiated a governance vote that, if approved, will formalize around 37 million HYPE tokens (~$1B) from the Assistance Fund as permanently out of circulation.
💥 What’s happening:
The tokens are already on an address without a private key – practically inaccessible.
Once the vote passes, they will be officially recognized as “burned” in the protocol’s supply metrics.
This is not a classic on-chain burn, but the effect on circulating and total supply will be the same.
✅ Pros:
Reduces circulating supply → potentially deflationary impact.
Increases transparency and trust for investors and analysts.
Confirms Hyperliquid’s long-term strategy to protect the value of $HYPE.
⚠️ Cons / Risks:
The outcome depends on the validators’ vote results.
The market might expect a direct technical burn → potential for confusion.
This is not a new mechanism, but a formalization of tokens that are already inaccessible.
💡 Conclusion:
Hyperliquid clearly demonstrates that it is focused on long-term value for $HYPE holders, not short-term dilution. Formalizing ~37 million tokens as out of circulation is a strong signal of a deflationary strategy, protecting holders and increasing the protocol’s transparency.
#hype #CryptoNewss #CryptoMarkets
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content. See T&Cs.
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