AEVO price gains after 1m token repurchase

Aevo’s price saw a significant increase after the Paradigm-backed decentralized derivatives layer 2 platform announced that it had completed the buyback of 1 million tokens.

On September 4, the Ethereum (ETH)-based crypto options and perpetual trading platform announced August buybacks totaling 1 million Aevo (AEVO). The price of AEVO saw a slight increase, jumping nearly 5% from lows of $0.29 to highs of $0.33.

Aevo’s buyback program

The Aevo team shared on X that the project has begun the buyback process. For last month’s token buyback, they repurchased 1 million AEVO at an average price of $0.317, and these transactions took place on September 2 on the Binance crypto exchange.

All repurchased tokens were sent to the treasury multisig as part of a program that the derivatives platform L2 plans to run monthly until December 2024.

“With the AEVO supply nearly fully realized and buybacks ongoing, we believe this is a good starting point for long-term value creation for $AEVO token holders.”

On the Aevo X.

What happens to the bought back tokens?

Aevo committed to buying back its native token in an update on its token economy in June.

In a blog post on June 26, the DEX platform stated that a portion of its revenue will go towards buying back AEVO. Weekly buybacks occur on-chain and transactions are randomized to prevent front-running.

Tokens sent to the treasury will require a governance vote by AEVO holders before they can be used in rewards programs, token burns, or other adjustments to the token economy.

As of September 4, 2024, the circulating supply of AEVO is 870,377,904 units, and the total supply is 1 billion units.