Update on $FLUID Buybacks
Buybacks will kick off on October 1st as indicated in the original message.
For the first month, 100% of the revenue from the mainnet instance will be allocated to buybacks.
Reasoning
The team is currently evaluating and building a proper model and tracking system to calculate the optimal amount of revenue that should go into buybacks. This automated solution requires more development time, as the team’s focus has recently been on:
- Launching Fluid on Solana
- Preparing for the Plasma launch
- Developing DEX v2
Because of these priorities, the automated buyback infrastructure isn’t yet complete. In the meantime, we’re dedicating all mainnet revenue for the first month to buybacks.
Revenue Sources
Mainnet currently generates over 80% of Fluid’s total revenue, making it the primary source for buybacks at this stage. This will result in $1.3-1.5M of buying pressure (at current market prices). The team will divide the buyback into multiple small transactions starting on the 1st of October.
Next Steps
Once the buyback infrastructure is complete, we’ll move to a more structured approach which will be discussed here on the forum. At that point, Jupiter Lend and L2 revenue streams will also be incorporated into the overall buyback program.