Hyperliquid is preparing to transfer approximately $14.58 million in USDC to its Assistance Fund. This payment represents the first yield distribution under the new AQAv2 framework, which began accruing on August 26, 2026. The funds will be used for HYPE token buybacks and subsequent burning.
Under the AQAv2 model, 90% of the net yield generated from USDC reserves is directed to the Assistance Fund. The platform currently holds reserves estimated between $5 billion and $6.7 billion. With yields at approximately 3%, annual funding from these reserves is projected to reach $135–200 million.
The exchange continues to utilize trading fees for buybacks, with 99% of these fees funneled into the fund, representing an estimated capacity of $771 million annually. Combined with USDC yield, the total annual buyback capacity is expected to exceed $900 million. Coinbase and Circle act as partners for USDC deployment.
To date, the Assistance Fund has acquired approximately 45 million HYPE tokens for about $1.1 billion. The protocol, which operates on its own Layer 1 blockchain, saw 69.08% validator approval for the AQAv2 implementation. The market is now awaiting the completion of the initial $14.58 million transfer to assess the mechanism's impact.
