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Hyperliquid channels $1.16B in fees into HYPE token buybacks, driving price despite recent buyback declines.

Protocol Fundamentals
24 May 2026
Blockonomi
View Source
Bullish
pluang ai news

Hyperliquid has used over $1.16 billion in trading fees to continuously buy back its HYPE token, fueling its price rise to an all-time high above $62 in May 2026. The protocol’s Assistance Fund reinvests nearly 99% of revenue into open-market purchases, operating independently of market sentiment. However, quarterly buybacks have dropped about 40% from Q3 2025 to Q1 2026, even as HYPE prices climbed, raising concerns that a decline in trading volume could reduce buyback support when holders need it most. This volume-dependent mechanism means investors should be cautious, as falling trading activity could weaken the price support structure beneath HYPE.

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