Aster expands buybacks amid price lows and supply concerns

Aster has expanded its buyback program, allocating up to 80% of daily fees to repurchase ASTER tokens. Despite this, the token hit record lows, prompting buybacks and calls for supply cuts.

Aster, a decentralized perpetual futures exchange, has expanded its token buyback program to reinforce its economic model and support ASTER’s value. The platform now allocates 20% to 40% of daily platform fees to repurchase its native ASTER token from the open market. This allocation can increase to as much as 80% by combining Stage 5 automatic daily buybacks with a new discretionary on-chain reserve. These mechanisms are designed to adapt to market conditions, with the discretionary reserve allowing flexible allocations based on liquidity and price action. All buybacks are executed on-chain for transparency and are primarily funded by trading fees, including those from Shield Mode, which only charges fees on profitable trades. Despite these efforts, ASTER’s price recently reached all-time lows, prompting strategic buybacks to stabilize the token. Over 209 million ASTER tokens, valued at more than $140 million, have been repurchased. The community is now advocating for a supply reduction, especially ahead of a major token unlock in February.