Token
Buyback & Burn
DRIP operates an autonomous buyback loop that uses API revenue to purchase and permanently burn $DRIP tokens. Every query reduces the total supply.
How the Buyback Loop Works
- Revenue collection — users pay for queries via x402 micropayments (USDC on Solana).
- Accumulation — revenue accumulates in the DRIP treasury wallet.
- Threshold trigger — when accumulated revenue reaches $10, the buyback engine activates.
- Market buy — the engine buys $DRIP from the open market (Jupiter / Raydium) at current market price.
- Burn — purchased tokens are sent to a burn address, permanently removing them from circulation.
Revenue → Burn Flow
Buyback cycle
User Query ($0.05 USDC)
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Treasury Wallet
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├── Accumulates until ≥ $10
│
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Buy $DRIP (open market)
│
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Burn Address (permanent removal)
│
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Supply DecreasesKey Details
- Threshold: $10 accumulated before a buyback triggers
- Execution: automated — no governance vote, no manual intervention
- Transparency: all buyback and burn transactions are on-chain and publicly verifiable
- Frequency: depends on query volume — more usage means more frequent burns
- Burn address: tokens are sent to Solana's standard burn address (irreversible)
Why Buyback & Burn?
The buyback loop creates a direct link between DRIP usage and token value. As more people use DRIP for research:
- More revenue flows to the treasury
- More frequent buybacks occur
- Total supply decreases
- Each remaining token represents a larger share of the network
This is a mechanical, transparent process — not a promise or a roadmap item.
💡The buyback engine runs autonomously. No team member can redirect funds, change the threshold, or pause the process. The logic is on-chain.