Ronin has officially announced a significant initiative aimed at revitalizing the value of its native token, RON, through a large-scale buyback strategy. Set to commence on September 29, the Ronin Treasury plans to purchase RON from the open market, signaling a transformative phase for the network, which has been described as a “sleeping giant.” This initiative is designed to offer substantial benefits to an array of token holders, including Web3 gamers, NFT enthusiasts, and loyal supporters of the ecosystem.
The Ronin Treasury has quietly amassed over $4.5 million in assets over the past four years, consisting of 895 ETH and around 650,000 USDC. This growth has primarily stemmed from trading fees collected via the Katana decentralized exchange (DEX), as well as revenue generated from transactions on the Ronin marketplace and OpenSea, alongside registration fees for the Ronin Name Service, which utilizes EIP-1559 for gas fee management. Despite this impressive accumulation, RON and Wrapped RON (WRON) represent only 12% of the total amount held across wallets.
As part of its buyback strategy, Ronin will convert 100% of its ETH and USDC reserves into RON. This exchange will account for approximately 1.3% of RON’s circulating supply at current prices, a cautious yet forward-thinking approach that underscores the team’s confidence in the token’s future. The buybacks will be executed on-chain with the support of third-party market makers, a method that not only optimizes treasury fees but also enhances transparency in the process.
This ambitious move by Ronin is more than just a financial maneuver; it represents a strong commitment to align the ecosystem with its developers and community, setting the stage for future growth in the Web3 gaming sector. As Ronin re-establishes its presence within the Ethereum space, it aims to leverage this buyback strategy as a catalyst for a new wave of development and engagement within its network.
