OGN DAO Approves $3 Million Token Buyback Initiative – Coincu

OGN DAO has approved a governance proposal to allocate over $3 million in assets for an Origin Token (OGN) buyback, starting this June.

The move is aimed at enhancing value for token holders and aligning the revenue flow with sustainable yield models.

OGN DAO Allocates $3 Million for Token Buybacks

The Origin Protocol’s DAO approved a governance proposal to allocate over $3 million of its treasury for OGN token buybacks. This decision follows a previously passed plan to dedicate 100% of protocol revenue to such actions. DAO efforts are now focused on stopping emissions and generating yield through its own assets, with this purchase plan set for a 12-month timeline.

By transitioning from emissions-based rewards to real yield generation from DAO-owned and protocol revenue assets, the initiative proposes a significant paradigm shift. The funds will initially convert into stable assets like OUSD and OETH to ensure stability and continuous appreciation. This will likely secure a robust mechanism for sustained buyback activities without compromising asset appreciation.

Reactions to the decision have been positive, although no direct statements from Origin’s co-founders, Josh Fraser or Matthew Liu, are publicly available. The unanimous endorsement reflects community consensus on the proposal as published on the Origin Protocol’s platform. As summarized in the Origin Protocol Announcement:

Origin’s DAO has officially passed a major upgrade to OGN staking.

Market Dynamics: Price Volatility and Potential Growth

Did you know? In the past, DAOs like AAVE have utilized buyback mechanisms, enhancing token value by reducing circulating supply, a plan OGN now aims to emulate. For more on AAVE’s strategies, refer to the Aave governance funding update for June 2025.

Data from CoinMarketCap reveals Origin Protocol’s OGN trading at $0.05 with a market cap of $38.74 million. Its 24-hour trading volume is at $13.2 million, down 19.57%. Price changes show a 3.19% gain in 24 hours, but a 6.84% drop over the past week. The 90-day performance saw a 16.81% decline, reflecting ongoing volatility.

Coincu insights suggest potential growth in OGN’s market stability, as buyback-backed yield mechanisms gain popularity. Such strategies, however, demand sustainable yield maintenance to resist long-term inflationary pressures. Historical trends in similar initiatives show potential for moderately enhanced market confidence if effectively implemented.