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Aster Redirects 99% of Fees to Daily ASTER Buybacks With Matching Reserve Burns

It automates daily TWAP buybacks that route purchased ASTER to locked veASTER stakers through an expanded Loyalty Rewards program.

Overview

  • Aster implemented the change on June 17, directing 99% of its daily platform fees to automated time-weighted average price buybacks that settle on-chain and can be verified via a published buyback wallet.
  • For every token the protocol buys, Aster will burn an equal amount from its reserve holdings, starting with team allocations and targeting a reduction of total supply from 8 billion to 3 billion ASTER.
  • Tokens purchased by the program are not destroyed but added to the Loyalty Rewards pool, which keeps a 300,000 ASTER base each epoch and distributes extra buyback tokens to veASTER holders weighted by lock duration.
  • Aster added a 50,000 USDT fee for permissionless Aster Spot listings and will route those proceeds into the same buyback system to further fund staking rewards.
  • The announcement produced an immediate market response, lifting ASTER roughly 12–20% in early trading, and the policy could raise demand for ASTER while speeding reserve depletion and increasing rewards for long-term locked stakers.