Key Highlights:
- NEAR Protocol has generated over $29 million in Intents fees since February, driving $5.3 million in $NEAR buybacks, though repurchases do not yet outpace network token issuance.
- Hyperliquid directs 99% of its trading fees toward buying back the $HYPE token, creating an equity-style cash flow model that is quickly resonating with traditional financial advisors.
- Institutional demand through ETFs and dedicated digital asset treasury firms like Sovereign and Hyperliquid Strategies offers strong tailwinds, alongside network execution and regulatory risks.
NEAR Protocol Leverages Intents and AI to Drive Token Value
NEAR Protocol is transforming on-chain protocol revenue into programmatic market demand for its native asset, $NEAR. Driven by expanding Intents activity, users have contributed more than $29 million in transaction fees since February. According to Rasmussen, this on-chain activity has directly fueled $5.3 million in $NEAR token repurchases. While this mechanism showcases a clear pipeline from application utility to token economics, Rasmussen noted that current buybacks are not yet large enough to neutralize new token inflation.
“Today, buybacks aren’t enough to offset new issuance. But it’s still early,”
Rasmussen said. He projects that expanding transaction volumes across Intents will systematically increase repurchasing power over time, positioning fee burns and buybacks as primary drivers of long-term tokenomics. These observations align with recent assessments from Bitwise Chief Investment Officer Matt Hougan and Sovereign Chief Executive Officer Sal Ternullo, who both highlighted that $NEAR is stepping into an advanced phase of value accrual. Beyond Intents, Rasmussen identified future upside in NEAR AI Cloud, though the artificial intelligence infrastructure branch has yet to integrate an automated token buyback framework comparable to the Intents platform.
Hyperliquid Capitalizes on Traditional Buyback Dynamics to Attract Advisors
While NEAR refines its revenue capture, decentralized perpetual exchange Hyperliquid is securing substantial interest from conventional wealth managers by replicating established corporate finance models. By returning protocol revenue directly to its token ecosystem, Hyperliquid creates valuation metrics that traditional allocators easily understand.
“We cannot see who holds $HYPE ETF shares, but the feature that lands fastest with advisors is that 99% of Hyperliquid trading fees buy back the $HYPE token,”
Rasmussen explained. This high-percentage repurchase framework mimics classic equity share buybacks funded by corporate profits, enabling wealth managers to model token fundamentals using traditional cash-flow parameters.
“Traditional investors are very familiar with companies that build products that generate revenues and use the profits to buyback shares, or in the case of Hyperliquid, $HYPE tokens,”
Rasmussen stated. The parallel has become increasingly critical as asset managers, including Bitwise, deploy regulated investment products tied to $HYPE, broadening accessibility across standard brokerage and retirement accounts. Rasmussen reported that Hyperliquid generates nearly $1 billion in revenue and leads the decentralized perpetual futures market. However, he warned that market participants must weigh ongoing regulatory scrutiny and fierce competition from established centralized venues like Binance, Coinbase, and CME.
ETFs and Digital Asset Treasuries Establish New Demand Channels
The structural demand for both $NEAR and $HYPE extends beyond decentralized application usage into the institutional realm. Specialized digital asset treasury firms, such as Sovereign for NEAR and Hyperliquid Strategies for HYPE, are amassing strategic reserves to support ecosystem growth and deploy capital into decentralized finance environments. Nevertheless, Rasmussen emphasized the need to differentiate external treasury allocations from native platform volume.
“Usage demand shows up every month as fees and buybacks, while treasury purchases (or flows into ETFs) show up as increasing demand for the token,”
Rasmussen observed. Unlike recurring protocol revenue, balance-sheet treasury accumulation remains vulnerable to broader macro headwinds. If underlying equity valuations decline or trading premiums over net asset value (NAV) compress, these balance-sheet buyers could decelerate their purchases or even shift from net accumulators into active sellers. Treasury vehicles also carry management overhead and execution liabilities, with shares often fluctuating at significant premiums or discounts relative to the actual crypto assets they hold.
Why This Matters
The emergence of direct revenue-to-buyback pipelines marks an important transition in crypto market maturity, shifting valuation discussions away from speculative governance rights and toward measurable capital return frameworks. For NEAR, successfully matching fee buybacks with token issuance represents the milestone required to achieve deflationary or value-accretive economics. Meanwhile, Hyperliquid’s ability to convert nearly $1 billion in annual revenue into sustained $HYPE buybacks sets a compelling precedent for how decentralized exchanges compete against legacy financial institutions like CME and centralized giants like Coinbase.
As Rasmussen noted regarding the future landscape: “I believe investors underappreciate the impact that rising institutional and enterprise adoption will have on the growth of these networks and outlook for these assets.”
How these platforms navigate evolving regulatory environments and institutional ETF flows will likely establish the benchmark for digital asset valuation over the coming market cycle.
Frequently Asked Questions
How do NEAR’s Intents fees affect the $NEAR token?
Since February, NEAR’s Intents feature has generated over $29 million in transaction fees, which translated into $5.3 million in $NEAR token repurchases. While these buybacks do not yet fully offset network token emissions, growing network adoption is projected to increase programmatic repurchases over time.
Why are financial advisors interested in Hyperliquid ($HYPE)?
Financial advisors favor Hyperliquid because 99% of its decentralized perpetual trading fees are allocated toward buying back $HYPE tokens. This mechanism closely mirrors standard equity share repurchases, allowing traditional advisors to analyze the token using proven, revenue-based valuation metrics.
What is the difference between network usage demand and treasury demand?
Usage demand is recurring and programmatic, presenting itself consistently each month through transaction fees and token buybacks. Conversely, demand from exchange-traded funds (ETFs) and treasury companies like Sovereign reflects institutional capital allocation, which can shift rapidly depending on broader market conditions, equity valuations, and NAV premiums.
