The Hyper Foundation recently put forward a significant proposal regarding the supply of the HYPE Token , suggesting that all HYPE tokens currently held in the Aid Fund will be "burned" and permanently removed from the circulating supply and the network's total supply. This move quickly attracted attention from the community as it directly relates to transparency, Token economics, and the project's long-term commitment.
Specifically, on December 17th, the Hyper Foundation announced on social media a proposal to hold a vote among validators to officially recognize the "burning" of HYPE tokens belonging to the Aid Fund. Essentially, the Aid Fund is an automated system that, during Layer 1 execution, converts collected transaction fees into HYPE. However, unlike regular wallets, the Aid Fund's system address never held the private key to control these assets. This rendered the HYPE Token held there inaccessible and unusable, similar to sending Token to a zero address.
The Hyper Foundation emphasized that, unless the network undergoes a deeply invasive Hard Fork , the amount of HYPE in the Aid Fund is mathematically irrecoverable. Therefore, this vote was not intended as a technical on-chain manipulation, but rather to establish a binding social consensus. When validators voted "yes," they officially acknowledged that the aforementioned HYPE was XEM burned and that no protocol upgrades would ever be approved to access this system address in the future.
