The decentralized exchange sector is once again embroiled in a battle between "real yield yield" and extreme deflation. Aster officially announced a new tokenomics upgrade today (17th), declaring that it will significantly increase buyback and burn efforts, putting the platform token on the fast track to deflation.
Fueled by this major positive news, market funds quickly poured in, causing the price of $ASTER to surge by more than 9% in a short period of time, currently trading at $0.73. Community discussion also soared.
99% of the supply was bought back at transaction fees plus an equal amount destroyed, resulting in a drastic 60% reduction in total supply.
According to the official announcement, starting at 12:00 PM (UTC time) on June 17, 2026, Aster will implement a dual deflationary mechanism known as "198% buyback and burn." The specific operation method is as follows:
- 99% of platform fees are used to buy back $ASTER: Up to 99% of the daily fees generated by the platform will be used directly to buy back $ASTER on the market.
- Burn: Whenever the system buys back 1 $ASTER from the market, it will simultaneously burn 1 $ASTER from the team's reserve allocation, bringing the overall deflationary effect to 198%.
The Aster team has demonstrated tremendous determination, announcing an initial total supply of 8 billion tokens. This burning mechanism will continue to operate until the total supply drops to 3 billion tokens , meaning that over 60% of the tokens will disappear. The official statement emphasizes that all buybacks will be automatically executed via TWAP (Time Weighted Average Price) and settled daily on-chain, publicly verifiable by anyone.
All tokens bought back were returned to stakers, and listing fees were inflated to further boost liquidity.
In addition to reducing circulating supply, this upgrade will directly deliver significant value to token holders. All tokens bought back from the market will be allocated to stakers. In each epoch, these bought-back tokens will be added to the base 300,000 Loyalty Rewards pool and distributed according to the veASTER tokens locked by users.
In addition, Aster has introduced an additional source of funds for buybacks. In the future, the 50,000 USDT fee charged for each permissionless listing on the Aster Spot market will be used 100% to buy back $ASTER and will be entirely used as additional staking rewards.
Following the release of this upgrade announcement, which emphasizes transparency and strong deflationary pressure, it quickly garnered tens of thousands of views and widespread positive feedback within the community. Most investors are strongly optimistic about the long-term upward potential of this extreme deflationary model for the coin's price; however, some community members are calling for the official team to further burn the remaining supply to demonstrate a stronger commitment to market control.
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