Avalon Labs Completes Major AVL Token Buyback and Burn
- Avalon Labs burned 93.9 million AVL tokens, impacting 37% of its supply.
- Token buyback was fully funded by protocol revenue.
- AVL price rose significantly following the burn announcement.
Avalon Labs executed a significant buyback and burn of 93.9 million AVL tokens, accounting for 37% of its supply, funded entirely through protocol revenue and executed via Bybit.
This event underscores Avalon Labs’ sustainable business model and positively impacted AVL’s market dynamics, evidenced by price increases and heightened market activity.
Avalon Labs has executed a major “buyback and burn” plan involving 93.9 million AVL tokens. This represents 37% of the circulating supply and was conducted entirely using protocol revenue.
The firm, a decentralized lending platform, aims to build a leading on-chain market for Bitcoin. No direct statement from company founders or executives has been made public. “93.9 million AVL tokens, representing 37% of circulating supply, have been permanently removed from the market, showcasing our commitment to enhancing the value for our holders.”
The AVL token price surged between 7.6% to 9% following the buyback. This significant movement reflects immediate positive market reactions, bolstering the token’s current position. Avalon Labs burns 93.9 million AVl tokens in buyback plan
Financially, the buyback utilized $1.88 million USDT from monthly revenue, showcasing a strong DeFi performance. Avalon Labs did not engage in external funding for this initiative. Our approach of utilizing protocol revenue for this buyback and burn sets a new precedent in the DeFi space, emphasizing sustainability in our financial practices.
The token burn’s impact has resonated through the crypto community, albeit without notable commentary from industry leaders. The AVL token remains a subject of investor interest.
This successful buyback strategy provides potential guidance for similar DeFi platforms. Drawing parallels to revenue-funded buybacks, such as Synthetix’s, it highlights AVL’s sustainable financial operations. Future technological outcomes depend on continued protocol enhancements and ecosystem strength.
