Spheron Kicks Off $SPON Buyback Program, Begins Burning Supply
The decentralized compute network ties token scarcity to AI demand, aiming to build a self-sustaining economy for providers, developers, and holders.
Decentralized compute network Spheron has kicked off an ongoing buyback-and-burn program for its native token, $SPON, executing the first cycle this week.
The company said it repurchased 0.625% of total supply, worth $500,000 at an $80 million FDV, with all tokens set to be permanently burned, reducing overall supply. This process will now continue on a recurring basis, with future buybacks tied to network revenue and compute demand.
How the Mechanism Works
The move is part of Spheron’s “Secure Compute” initiative, which links revenue from GPU rentals directly to token scarcity. The Secure Compute Flywheel is built around a simple principle: every increase in network usage creates value for $SPON holders. Compute providers collateralize GPUs with $SPON and offer subsidized rates to users. When demand spikes, surplus margins are generated and funneled back into the ecosystem through buybacks at or above the token’s launch floor value. All repurchased tokens are permanently destroyed, introducing consistent deflationary pressure.
Burn the Token, Grow an Ecosystem
Spheron has rapidly scaled its network, now counting 44,000+ nodes across 170 regions, more than $100 million in distributed compute, $16 million in annual recurring revenue (ARR), and a community of over 400,000 members. The $SPON token facilitates transactions, governance, and now deflationary mechanics.
The company said the recurring buyback-and-burn cycle is designed to reward providers, lower costs for users, and benefit token holders to reinforce its goal of building a sustainable compute economy for its growing community.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
You May Also Like
NFT transaction volume fell by about 40% to $94.91 million this week
Ghana's central bank governor: cryptocurrency regulations will be introduced before the end of the year
