On April 18, Threshold Network announced a network restructuring plan to improve cost efficiency through T Token repurchases. The plan focuses on reducing annual operating costs, stopping T Token sales from the treasury, and accumulating T Token through targeted buybacks. The Threshold DAO treasury will continue to accumulate tBTC from bridge fees and T Token through repurchases. This restructuring process has improved the protocol's financial situation, reducing annual operating costs by approximately $1.1 million and total costs for governance and contribution roles to $602,000 per year.
Additionally, canceling staking rewards for tBTC is expected to save over $8.5 million annually. The treasury has completed the first purchase of around 30 million T Token, spending 5.8 tBTC. Currently, approximately 420 million T Token are being used for governance and multisig, with a current market value of around $7 million. Furthermore, there are about $8-9 million in reserve assets (tBTC, ETH, and stablecoin) to ensure operations for 2-3 years. This content is for market information purposes only and is not investment advice.
