Information about the sharp decline in PYTH (Pyth Network) price in the context of a weakening market and the activation of the buyback program is attracting significant attention from the investor community.
Below are the most important details regarding the current situation as of mid-December 2025:
1. Price movement: Sharp decline from the peak:
Decline: The price of PYTH has undergone a deep drop, losing about 76% - 80% of its value compared to the all-time high (ATH). Currently, this token is trading around $0.06, close to its historical low.
Causes: In addition to general pressure from the cryptocurrency market due to weak liquidity, PYTH is also under pressure from large token unlock events and fierce competition in the Oracle space (main competitor is Chainlink).
2. The "PYTH Reserve" program and Buyback mechanism:
To cope with the declining price situation and strengthen investor confidence, Pyth Network officially launched PYTH Reserve on December 12, 2025:
Revenue sharing rate: The project will use 33% of protocol revenue (from products like Pyth Pro, Core, Entropy) through DAO governance to buy back PYTH on the open market.
Objective: Reduce circulating supply, create periodic demand, and build a sustainable reserve fund for the network.
Initial scale: The first buybacks are expected to be at the level of $100,000 – $200,000/month, based on the current DAO treasury balance of approximately $500,000. This figure is expected to increase as revenue from data services (which has already exceeded $1 million ARR) expands.
3. Market assessment:
Positively: This is a shift from a static token model to a value accrual model, directly linking the development of the ecosystem with the value of the token.
Challenges: In the short term, the current buyback scale (a few hundred thousand USD) is still quite small compared to PYTH's market capitalization of hundreds of millions USD. Therefore, the impact on price may not be immediately apparent if the overall market does not recover.
The content is informational and analytical, not investment strategy advice.
