On August 7, 2025, the Orca Council proposed a buyback plan for ORCA tokens using 55,000 SOL and 400,000 USDC, aimed at supporting the token's market value.
Orca Council's Token Buyback Proposal
The Orca governance council has proposed a plan to repurchase ORCA tokens using treasury funds. This initiative aims to support the token's market value and will be in effect for 24 months. Daily buybacks are limited to minimize market impact.
Risk Management Strategy
The new strategy focuses on increasing ORCA scarcity and potential token burns. The 2% cap on the average daily trading volume is crucial for reducing price fluctuation risk. Buybacks will pause during periods of significant market volatility to ensure stability.
Market Dynamics and Historical Context
According to CoinMarketCap data, the current value of ORCA is $2.17 with a market cap of $129.81 million. The 24-hour trading volume has increased by 18.93%. Historical examples of token buybacks like those of MakerDAO show how burning tokens can reinforce their value.
The Orca token buyback plan could significantly influence decentralized finance operations and token supply management if implemented as intended.
