Crypto Projects Terminate Buyback Programs Following Price Collapses
Jupiter and Helium halt their token buyback programs after prices crashed dramatically despite substantial investments.
Two prominent crypto projects are pulling the plug on their buyback programs. Helium founder Amir Haleem announced in early January the immediate end of HNT buybacks, describing the monthly expenditures of over $3.4 million as waste into a "bottomless pit." The funds will instead be directed toward the growth of Helium Mobile [1].
Almost simultaneously, Jupiter co-founder Siong Ong questioned his project's strategy. Despite buybacks worth over $70 million in 2025, the JUP token plummeted by nearly 90 percent [1].
Jordi Alexander of Selini Capital criticizes that projects like JUP, ENA, and HYPE have "burned" millions at fundamentally inflated prices. This lured retail investors into buying at peak levels, who subsequently suffered heavy losses [1].
However, Alexander warns against dismissing buybacks entirely. Instead, he proposes aligning buybacks with the price-to-earnings ratio: at low valuations, projects should increase buybacks to reduce supply. Without dividends, buybacks, or clear financial utility, tokens would lose their purpose [1].
Sources
- [1]btc-echo.de
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