On March 13, 2024, AEVO reached its highest value at $4.46 but experienced a shocking drop. The token is currently trading at $0.52. As the price significantly dropped, the project began taking new steps. Accordingly, AEVO’s trading rewards and emissions were adjusted based on market conditions in recent months. Due to low trading volumes and a weak altcoin market, it was announced that the trading rewards campaign would not be renewed. Let’s look at the details.
AEVO Token Makes Changes in Its Economy
Despite current market conditions, it was stated that staking rewards would remain fixed at 100,000 AEVO per week. However, these rewards will not be extended to multi-month programs. This decision is seen as a step to maintain the sustainability of the reward system while adapting to changing market dynamics.
According to the original AEVO token economy voted on by the DAO in AGP-1, a portion of the excess revenue generated by Aevo DEX will be allocated for buybacks. Throughout this year, protocol revenues will be used to buy back AEVO tokens, creating more value for token holders. From July to December, at least 1 million AEVO will be bought back each month. These buybacks will be conducted on-chain at random times each week and managed through the DAO’s Treasury and Revenue Management Committee.
Emphasis on Transparency and Stability
The repurchased AEVO tokens will be returned to the main DAO Treasury, and this wallet will be made public to ensure transparency. Any future token economy adjustments will require a vote from token holders. With the reduction of emissions and the initiation of AEVO buybacks, the token economy structure is shifting from an aggressive growth strategy to a more defensive stance. This approach aims to create more value for token holders and ensure the ecosystem’s sustainability.
Since almost the entire supply of AEVO is already on the market, the project is in a strong position without significant unlocking risks. This stability ensures a focus on creating value for token holders and developing a robust and sustainable ecosystem. The adjustments made in AEVO’s token economy reflect a commitment to prioritizing token holders’ interests while adapting to market conditions.
