Pyth Network has officially announced the establishment of the PYTH Reserve , a new reserve mechanism for publicly and periodically repurchasing PYTH Token monthly on the open market. This move quickly attracted attention from the crypto community, as it is one of Pyth's clearest steps in directly linking the protocol's actual revenue to the Token's value.
According to information released on December 12th, PYTH Reserve is designed as an automated mechanism where a portion of the revenue generated by the Pyth protocol is transferred to the Pyth DAO treasury. From this fund, the DAO will repurchase PYTH on the open market on a monthly basis. All repurchased Token will be added to PYTH Reserve, Vai as a "reserve of value" directly generated from product revenue, rather than relying solely on speculative expectations.
