PANews reported on April 18 that according to Chainwire, Threshold Network announced a network restructuring plan and will conduct strategic reinvestment through T token buybacks. The plan aims to improve cost-effectiveness by cutting annual operating expenses, stopping treasury sales of T tokens, and accumulating T tokens through targeted buybacks. The Threshold DAO treasury will continue to accumulate tBTC through bridge fees and T tokens through buybacks.
Threshold stated that the restructuring improved the protocol's financial situation. It reduced annual operating costs by approximately $1.1 million, bringing the total cost of governance and contributor roles to $602,000 per year. Additionally, canceling tBTC staking rewards is expected to save over $8.5 million annually. Threshold has completed its first purchase of approximately 30 million T tokens, spending 5.8 tBTC. Currently, about 420 million T tokens are used for governance and multi-signature, valued at around $7 million at current market prices. Furthermore, there are $8-9 million in reserve assets (tBTC, ETH, and stablecoins), which can support operations for 2-3 years.
