Orca Council Proposes Major ORCA Token Buyback Plan

Key Points:

  • Orca Council proposes using 55,000 SOL for ORCA buybacks.
  • Aims to create scarcity and support token value.
  • Risk management includes pausing buyback on volatility.

On August 7, 2025, the Orca Council proposed a plan to repurchase ORCA tokens using 55,000 SOL and 400,000 USDC, focusing on staking strategies and market support.

Magacoin Fiancne

This initiative, leveraging substantial treasury assets, aims to stabilize ORCA’s market position and enhance token scarcity, potentially influencing broader cryptocurrency market dynamics.

Orca Token Buyback Proposal

Orca’s governance council has presented a plan to repurchase ORCA tokens using SOL and USDC from its treasury. This is part of a broader strategy to support the token’s market value. The initiative spans 24 months and limits daily buybacks to mitigate market impact. The funds, all 55,000 SOL and 400,000 USDC, are allocated for staking and buybacks through careful asset management.

Immediate changes involve increased focus on ORCA scarcity and potential token burns. The daily cap of 2% on ORCA’s average trading volume is crucial to reducing exposure to price fluctuation. The buybacks will be paused during periods of significant market volatility, ensuring stability.

Community response and market reactions have so far been measured, with primary discussions happening on governance forums. Sufficient safeguards are included to reassure investors, and no comments from Orca’s founding team have been reported yet.

Market Dynamics and Historical Context Highlight Strategy

Did you know? Historical buybacks like those by MakerDAO were pivotal in reinforcing token value through burning, introducing scarcity as a consistent strategy.

CoinMarketCap data indicates that the current value of Orca (ORCA) is $2.17, with a market cap of $129.81 million and a 24-hour trading volume rise of 18.93% to $10.68 million. Recent price changes include a 3.14% increase, while broader trends show declines of 9.17% over seven days and 20.99% over ninety days.

orca-daily-chart-3

Orca(ORCA), daily chart, screenshot on CoinMarketCap at 00:37 UTC on August 7, 2025. Source: CoinMarketCap

The Coincu research team projects that Orca’s buyback strategy may influence future decentralized finance operations, affecting both liquidity and token supply management. Continued community involvement and strategic decisions remain critical for navigating the evolving market. This plan’s effect on ORCA token value could set precedents for other protocols if executed as intended.

Source: https://coincu.com/news/orca-token-buyback-proposal/