Hyperliquid Activates AQAv2 to Buy Back and Burn HYPE With USDC Reserve Yield

Hyperliquid has officially activated its Aligned Quote Asset v2 (AQAv2) framework, which will use yield generated from USDC reserves to fund programmatic HYPE buybacks and permanent token burns starting Aug. 26.

About 90% of the reserve yield will be allocated to the protocol under the framework. The proceeds will flow to Hyperliquid’s Assistance Fund every 30 days, which will use the funds to buy HYPE tokens and permanently remove them from circulation.

Yield accrual begins Aug. 26, while the first payout and corresponding buyback-and-burn execution are scheduled for Oct. 3. 

Circle is supporting AQAv2 as its technical deployer, with Coinbase serving as treasury manager.

Source: Digital Asset