Hyperliquid has made a significant announcement regarding the future distribution of its HYPE tokens. According to the official information, starting January 6, 2026, the project will begin the unstaking of 12 million HYPE tokens, a move that could influence market dynamics and investor sentiment.
Announcement of Unstaking Decision
The decision was disclosed by co-founder Iliensinc on the project's official Discord channel, indicating that this unstaking represents 24% of the team's total allocation. The release of these tokens is set to occur monthly on the 6th, which is expected to increase the overall token supply and align with existing vesting schedules.
Plans to Mitigate Sell Pressure
To mitigate potential sell pressure that may arise from this increased supply, Hyperliquid has announced plans to implement routine buybacks alongside staking emissions. Historical trends suggest that such large-scale token releases can lead to short-term sell-offs; however, the strategic buyback initiative aims to stabilize the market and support HYPE's value in the long run.
On December 30, 2025, Hyperliquid announced the upcoming distribution of approximately 12 million unstaked HYPE tokens to its labs team, raising concerns among traders about potential market impacts. For more details, see further information.
