Chiara Bianchi
Pyth Network, a cross-asset data protocol serving crypto and traditional markets, has introduced a new token buyback initiative aimed at strengthening PYTH token value while scaling long-term revenue.
The program, officially named the PYTH Reserve, reallocates a portion of network-generated income to purchase PYTH tokens on the open market. Revenue is first funneled into the Pyth DAO treasury, after which 33% of the total treasury balance will be used monthly for buybacks, according to Michael James, head of institutional business development at Douro Labs and a contributor to Pyth.
The initiative goes live this month, with the initial buyback expected to range between $100,000 and $200,000. James noted that the DAO treasury currently holds roughly $500,000, with buyback volumes expected to rise meaningfully as revenues expand through 2026 and beyond.
James highlighted strong early adoption of Pyth Pro, the protocol’s newest premium product delivering real-time market data across multiple asset classes and regions.
Since launching in late September, Pyth Pro has already reached $1 million in annual recurring revenue, secured more than 80 active subscribers, and generated around 10 organic inbound leads per week.
Based on current deal pipelines, Pyth is aiming for $50 million ARR over the next 12–18 months, James said.
Targeting a $500 Million ARR Opportunity
The broader market for data services currently stands near $50 billion, growing at an annual rate of 5%–6%. However, James believes structural tailwinds — including real-world asset tokenization, institutional adoption, and AI-driven data consumption — could expand the market to $100–125 billion by 2035.
“Our initial goal is capturing 1% of today’s market, which would place Pyth at roughly $500 million in ARR,” James said.
Beyond Pyth Pro, the ecosystem also includes Pyth Core for crypto pricing data, Pyth Entropy for onchain randomness, and Pyth Express Relay, a modular liquidity aggregation tool for trading applications.
Expanding Across Chains, Assets, and Use Cases
Pyth reports that its data infrastructure has supported over $2.3 trillion in transaction volume, integrates with 100+ blockchains, and is used by more than 600 applications.
Its data coverage spans cryptocurrencies, equities, foreign exchange, and commodities, serving a wide customer base that includes centralized and decentralized exchanges, infrastructure providers, market makers, and prediction platforms.
Strengthening Token Utility and Long-Term Value
According to James, the PYTH Reserve is designed to enhance token utility and value accrual by directly linking network adoption to token demand.
Buybacks will occur once per month, be executed entirely onchain, and the acquired tokens will be stored within the PYTH Reserve. James declined to speculate on how the program might impact PYTH’s circulating supply over the long term.
Token Buybacks Gain Momentum Across Crypto
Token repurchase strategies have become increasingly popular in 2025. CoinGecko data shows that just ten projects accounted for 92% of total buyback spending, led by Hyperliquid, which deployed more than $644 million in revenue.
Other notable participants include LayerZero, Pump.fun, Raydium, Rollbit, and Bonk, highlighting a broader industry shift toward revenue-backed token models.
