Hyperliquid AQAv2 will launch on August 26, with an expected annual increase of $135-160 million in HYPE buybacks

According to Bitcoin.com, the native token HYPE of the decentralized derivatives trading platform Hyperliquid is approaching $73. Crypto trader Pentosh1 stated that its fee burn mechanism will expand after the AQAv2 upgrade, potentially supporting its performance in the next bull market.

Since November 2024, Hyperliquid has repurchased and burned 462 million HYPE, worth approximately $1.27 billion, with about 99% of protocol fees used for repurchase. The platform's annualized protocol revenue is currently around $600 million to $950 million. AQAv2, which stands for Aligned Quote Asset v2, is scheduled to start generating returns from the platform's over $5 billion USDC reserves, with about 90% allocated to the Assistance Fund, and the first funds are expected to arrive on October 3. Market participants estimate that AQAv2 could add an additional $135 million to $160 million in repurchase scale annually.

In May, Coinbase and Circle, designated as Hyperliquid's official USDC fund deployers, have both committed to staking a larger amount of HYPE to assist in launching this mechanism.