Crypto token buybacks reached a record $638M this year. Here's what that means for investors.

00:00 Speaker A

The corporate Bitcoin flywheel is breaking, but on the crypto side, there are projects that are attempting to reverse that strategy using actual revenue to buy back their own tokens. And that's the next story.

00:10 Speaker A

Crypto token buybacks hit record 638 million in 2026.

00:15 Speaker A

So, these guys raised a bunch of money, bought a bunch of Bitcoin and never planned for cash flow and then sold the low. That's the Bitcoin Treasury companies. Meanwhile, we have actually actually very successful crypto protocols that are using their cash flow and profits to buy back their own token. Imagine that.

00:33 Speaker A

Imagine making money and then using that money for good. Right?

00:37 Speaker A

So, crypto projects says that headline said, 638 million buying back their own tokens so far this year.

00:44 Speaker A

That was comparing to 545 million during the same period last year, so up a bit, but it was just 366,000 in 2024. So you can see what the model has changed for the attempt that these companies are making to add value by doing token buybacks.

00:57 Speaker A

So, for being honest, Hyperliquid and pump.fun account for 90% of that total, right? Hyperliquid spent 370 million, pump fund spent approximately 200.