Hyperliquid and Pump.fun drive record $638M crypto buybacks
Hyperliquid and Pump.fun account for nearly 90% of a record $638 million in crypto token buybacks in 2026, according to Allium Labs data cited by the Financial Times on Monday. Hyperliquid spent roughly $370 million and Pump.fun nearly $200 million as more protocols turn revenue into repurchases to return value to token holders.
Key Takeaways
- Crypto projects spent $638 million on token buybacks year-to-date through Aug. 25, 2026—up from $545 million in the same 2025 period.
- Hyperliquid (~$370M) and Pump.fun (~$200M) together drove nearly 90% of that total.
- HYPE rose 145% and PUMP 109% year-to-date while Bitcoin fell 10% and total crypto market cap dropped 11.9%.
- Hyperliquid directs about 99% of revenue to buybacks; Pump.fun allocates roughly 50% of net protocol revenue.
- More protocols, including Ethena, are adopting revenue-funded repurchase models.
Why did crypto buybacks hit a record $638M in 2026?
Token buybacks work like corporate share repurchases: protocols use revenue to buy their own tokens from the market, aiming to support prices and reward existing holders. The practice was nearly absent in 2024—Allium Labs recorded just $366,000 in buybacks that year—but has accelerated sharply since.
Year-to-date through Aug. 25, crypto projects spent $638 million repurchasing their tokens, surpassing the $545 million spent during the same period in 2025. The Financial Times reported the milestone on Monday, citing Allium Labs tracking data.
More protocols are routing fees and revenue toward repurchases rather than relying solely on token burns or staking rewards. On Thursday, the Ethena Foundation opened a vote on a proposal to use 95% of net revenue from Ethena's core business lines for ENA token buybacks. ENA rose 10.7% on the day the proposal was announced.
How much did Hyperliquid and Pump.fun spend on buybacks?
Hyperliquid and Pump.fun dominate the buyback landscape. Of the $638 million total, Hyperliquid accounted for roughly $370 million and Pump.fun for nearly $200 million—together approaching 90% of all crypto token repurchases in 2026.
Hyperliquid, a decentralized exchange, spends about 99% of its revenue on HYPE buybacks. The platform reported $169 million in second-quarter revenue on Aug. 6 and directed $141 million toward repurchases.
Pump.fun, a memecoin launchpad, allocates about 50% of its net protocol revenue for token repurchases. Based on average daily revenue over the past 90 days, the platform currently generates roughly $420 million in annualized revenue.
Are token buybacks boosting HYPE and PUMP performance?
The buyback strategy appears to correlate with strong token performance. HYPE rose 145% year-to-date and PUMP gained 109%, according to TradingView data cited by Cointelegraph. Over the same period, Bitcoin fell 10% and total crypto market capitalization declined 11.9%.
Bitwise chief investment officer Matt Hougan said earlier in August that crypto valuations could double over the next two years as protocols increasingly use revenue to fund buybacks and burns, returning more value to investors. The trend remains concentrated in a handful of high-revenue platforms for now.
What should crypto investors watch next?
Token buybacks are still relatively rare across the broader crypto industry, but the record 2026 spending signals growing adoption. Investors should track whether revenue-funded repurchases spread beyond Hyperliquid and Pump.fun to established DeFi and infrastructure protocols.
For ongoing coverage of buybacks, DeFi revenue models, and market-moving crypto news, see our Fintech & Crypto Alerts hub. Primary data comes from Allium Labs figures reported by the Financial Times via Cointelegraph.