USDAI's $CHIP token jumps 19% after $1M buyback amid AI sector financing concerns

USDAI, a decentralized lending protocol for AI infrastructure, boosted its native $CHIP token by buying back 22.3 million tokens worth $1 million in USDC, causing a 19% price surge and a 331% volume spike. This buyback created demand and limited supply, supporting the token's price. However, Elon Musk warned that over 200 AI-focused cloud providers may fail due to tightening financing, raising concerns about sustainability in the AI sector. Industry debt and predictions of neocloud shutdowns highlight financial risks ahead.

As of Oct 28, 2026 07:24 WIB, CHIP on Pluang trades at Rp986 with a 1-day gain of 6.09%. The token's market cap stands at Rp1.96 trillion while 24-hour trading volume reaches Rp664.12 million. Despite the recent rally, Pluang data shows a balanced order activity with 52% buy and 48% sell orders, and typical holding time is around 5 days.