Hyperliquid and Pump.fun Drive 90% of $638M Crypto Buybacks: FT

Token buybacks are becoming a defining strategy for a small but influential slice of the crypto sector. According to data compiled by Allium Labs and cited by the Financial Times, cryptocurrency projects spent a record $638 million on repurchasing their own tokens so far in 2026—nearly 90% of that total concentrated in two platforms: Hyperliquid and Pump.fun.

In the year-to-date tally, Hyperliquid accounted for roughly $370 million and Pump.fun for nearly $200 million. The Financial Times report notes that this level of buyback activity is still rare across the wider industry, but the numbers suggest it is moving from novelty toward a measurable category of capital deployment.

Key takeaways

• $638 million in token buybacks has been recorded in 2026 year-to-date, per Allium Labs data cited by the Financial Times.
• Hyperliquid (~$370M) and Pump.fun (~$200M) dominate the total, together accounting for nearly 90% of spending.
• Buybacks remain uncommon in crypto overall, but more projects are experimenting with revenue-to-repurchase mechanisms.
• Crypto token buyback activity is increasingly being framed as a tool to support token value—analogous to share repurchases in traditional markets.
• Recent governance action at Ethena Foundation highlights how fee-switch models can formalize buyback plans.

Why token buybacks are drawing attention again

Token buybacks follow a logic that resembles share buybacks by public companies: projects use capital to repurchase their own assets, which can reduce circulating supply and, in some cases, send a signal about long-term value. While the analogy is straightforward, the crypto execution varies widely—often depending on how a protocol’s revenue is routed and whether repurchases are automatic or subject to governance.

What stands out in 2026 is the scale relative to earlier periods. The same Allium Labs figures cited by the Financial Times show $638 million spent year-to-date in 2026 compared with $545 million during the same period in 2025. The report also contrasts the current pace with prior years, noting $366,000 in 2024 for the corresponding timeframe.

Hyperliquid and Pump.fun lead the buyback spend

Hyperliquid and Pump.fun are not just participating in token repurchases—they are effectively running buybacks as a core allocation strategy.

For Hyperliquid, the structure is especially concentrated: the project reportedly directs about 99% of its revenue toward token buybacks. Cointelegraph previously reported that Hyperliquid generated $169 million in second-quarter revenue on Aug. 6, with $141 million allocated to HYPE buybacks. The implication for investors is straightforward: buybacks are not episodic, but tied tightly to protocol earnings.

Pump.fun, a memecoin launchpad, follows a different but still aggressive approach. The project reportedly allocates around 50% of its net protocol revenue to token repurchases. The launchpad also reportedly carries $420 million in annualized revenue, based on average daily revenue over the preceding 90 days.

When two platforms account for most of the sector’s buyback activity, their revenue rules can become a proxy for how “buyback culture” may evolve in crypto—especially whether it remains concentrated among a few high-throughput protocols or broadens as others replicate the model.

Governance signals: Ethena Foundation opens a fee-switch vote

Beyond the two dominant leaders, 2026 has also seen governance proposals that formalize buybacks using protocol revenue. On Thursday, the Ethena Foundation opened a vote on a fee-switch proposal under which 95% of net revenue paid to it from Ethena’s core business lines would be used to repurchase ENA tokens.

Crypto markets quickly priced the development: the ENA token rose 10.7% on the day after the proposal, according to the reporting referenced in the vote coverage.

For readers, the practical takeaway is not simply that buybacks can move prices in the short term, but that fee-switch governance can convert a vague “buybacks might happen” narrative into an enforceable spending framework. That shift matters because it changes the probability distribution around future demand for tokens and how consistently a protocol can sustain repurchases.

Outperformance and the market narrative around buybacks

Buybacks are also being linked to stronger token performance relative to the broader market. TradingView data cited in the original coverage shows that Hyperliquid (HYPE) rose 145% year-to-date and Pump.fun (PUMP) gained 109%, while Bitcoin (BTC) fell 10% and total crypto market capitalization declined by 11.9% over the same period.

It is important to separate correlation from causation, but the structure is compelling from an investor’s perspective: protocols that consistently recycle revenue into token repurchases create a direct, recurring demand stream. That demand can influence valuation expectations, especially during broader drawdowns where the rest of the market is struggling.

The idea is increasingly being spelled out by major asset managers. Bitwise chief investment officer Matt Hougan earlier in August argued that crypto valuations could double in the next two years as protocols use revenue to fund token buybacks and burns, effectively returning more value to investors.

What to watch next

The big question for 2026 is whether buybacks stay clustered in a few revenue-rich ecosystems or expand into more protocols through governance and revenue routing. Investors should monitor not just total buyback totals, but the durability of the revenue streams behind them—because in a market that can change quickly, the sustainability of token repurchase programs may matter as much as the headlines.