BlockBeats report, May 24: Forbes author Zennon Kapron noted that HYPE’s recent price surge has not been primarily driven by ETF expectations, but rather by Hyperliquid’s built-in buyback mechanism. The article states that Hyperliquid has used nearly all of its trading fee revenue—accumulating over $1.16 billion—through the Assistance Fund to repurchase HYPE on the open market.
Compared to the initial tens of millions of dollars in ETF inflows, protocol buybacks can reach hundreds of millions of dollars per quarter, potentially serving as a more fundamental price support. However, this mechanism also depends on trading volume; if the market declines, fee income and buyback support may weaken simultaneously.