WikiBit 2025-12-24 05:13Aster DEX’s Stage 5 Buyback Program allocates up to 80% of platform fees and 100% of Shield Mode net profits to purchase ASTER tokens, aiming to reduce
Aster DEXs Stage 5 Buyback Program allocates up to 80% of platform fees and 100% of Shield Mode net profits to purchase ASTER tokens, aiming to reduce supply and stabilize price amid bearish pressure. This deflationary strategy has already bought 566,000 ASTER worth $399,000 since launch.
What is Aster DEXs Stage 5 Buyback Program?
Aster DEXs Stage 5 Buyback Program is a deflationary mechanism designed to stabilize the ASTER token price by reducing circulating supply through strategic token repurchases. Launched to address ongoing bearish trends in the crypto market, it allocates up to 80% of platform fees toward buybacks, with 40% directed to automatic daily purchases processed via a transparent wallet for community oversight. This initiative follows four successful prior stages and incorporates Shield Mode Fees, ensuring 100% of those net profits fund additional ASTER acquisitions.
How Do Shield Mode Fees Support ASTER Buybacks?
Aster DEX recently introduced Shield Mode Fees as an innovative profit-and-loss sharing structure to bolster token buybacks. Under this model, market participants incur a 15% fee on net profits with no charges on losses, directing all collected funds entirely toward ASTER repurchases. According to platform reports from Asterlify, since Stage 5 activation, the team has already acquired 566,000 ASTER tokens valued at approximately $399,000. This approach not only absorbs sell-side pressure but also builds a strategic reserve using 20-40% of total fees, enhancing long-term price resilience. Experts in decentralized finance note that such mechanisms can significantly mitigate volatility by aligning protocol revenues with token value appreciation, as evidenced by similar strategies in other DEX ecosystems.
Source: Asterlify
These measures reflect Aster DEXs commitment to transparency, allowing token holders to track buyback activities in real-time through dedicated wallets. By consistently implementing such programs, the platform demonstrates a proactive stance against market downturns, fostering greater investor confidence in the ASTER ecosystem.
Frequently Asked QuestionsWhat Has Aster DEX Achieved Through Previous Buyback Stages?
Aster DEX has executed four buyback stages prior to the current one, successfully repurchasing more than 209 million ASTER tokens at a total value exceeding $140 million. These efforts have directly countered sell-side pressures, reducing available supply and providing a foundation for the expanded Stage 5 program that now incorporates higher fee allocations for sustained impact.
Why Is ASTER Still Experiencing Bearish Pressure Despite Buybacks?
Even with robust buyback initiatives, ASTER faces persistent downward momentum due to aggressive selling from both retail and large holders. Recent data from Coinalyze shows a sell volume of 4.43 million compared to 3.54 million in buys, resulting in a negative delta of 890,000. Top holders offloaded 17 million tokens in the last 24 hours, keeping the price below key EMAs and within a descending channel.
Source: Coinalyze
This imbalance underscores the challenges in a broader crypto bear market, where external factors like macroeconomic trends amplify selling activity.
Key Takeaways
Source: TradingView
Technical indicators from TradingView confirm this pattern, with the tokens position below moving averages highlighting the need for stronger buying interest to reverse the trend. Platform developers emphasize that continued fee allocation to buybacks will gradually erode this pressure, potentially leading to improved liquidity and holder retention over time.
Disclaimer:
The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.
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