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Hyperliquid has emerged as the dominant force in crypto token buybacks this year, accounting for nearly half of all such activity across the sector by some measures, according to a new report from Citrini Research. The firm called HYPE a "compelling" investment, pointing to the protocol's unusually shareholder-friendly fee structure as the core thesis.
Why it matters
More than 90% of Hyperliquid's platform fees are routed directly to its Assistance Fund, which uses those proceeds to repurchase HYPE on the open market. That level of fee-to-buyback conversion is rare in crypto — most protocols either retain fees in a treasury, distribute them to liquidity providers, or burn a fraction. Hyperliquid is doing something structurally closer to what a cash-generative public company does with free cash flow, and Citrini's framing reflects that: this is a capital-return story, not just a trading-volume story.
Market impact
Citrini also flagged that Hyperliquid still has significant room to gain market share in the decentralised derivatives space, meaning the buyback engine could accelerate as volumes grow. For HYPE holders, the combination of sustained open-market repurchases and an expanding platform creates a compounding dynamic that few crypto assets currently offer. Traders watching the perpetuals DEX landscape should treat this report as a signal that institutional-grade analysis is now being applied to Hyperliquid's fundamentals.
Frequently asked questions
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How does Hyperliquid's Assistance Fund use platform fees to buy back HYPE?
More than 90% of Hyperliquid's platform fees are directed to its Assistance Fund, which uses those proceeds to repurchase HYPE tokens on the open market, creating sustained buy-side pressure on the asset.
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What share of total crypto buyback activity does Hyperliquid represent in 2025?
According to Citrini Research, Hyperliquid's buybacks have accounted for nearly half of all crypto token buyback activity in 2025 by some measures, making it the dominant single protocol in this category.
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Does Citrini see further upside for Hyperliquid's market position?
Yes. Citrini noted that Hyperliquid still has significant room to gain market share in decentralised derivatives, suggesting the buyback programme could grow in scale as platform volumes expand.
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