Monthly Governance of Optimism DAO: The Debate on OP Buybacks

SelfCustodyBro · 2026-01-31T14:05:31+00:00

The Optimism DAO community is debating a major proposal to allocate 50% of Superchain's revenue for monthly OP token buybacks. This plan aims to boost token demand but raises concerns about financial stability and the effectiveness of such interventions in the market. The debate highlights the tension between active price support and prudent capital management.

SelfCustodyBro

2026-01-31 14:05:31

Abstract generation in progress

The Optimism DAO community is currently reviewing a major proposal regarding the use of its revenue. This initiative aims to allocate 50% of the gains generated by Superchain to fund a monthly token buyback program for OP tokens, sparking intense discussions among protocol delegates. According to NS3.AI’s analysis, this deliberation reveals divergent positions within decentralized governance.

A Monthly Buyback Plan Powered by Superchain Revenues

The proposal is based on a simple yet significant mechanism: systematically using half of the revenue from Superchain to conduct regular monthly acquisitions of OP tokens on the market. This approach aims to create a steady and predictable demand flow, potentially supporting the valuation of the governance token. Supporters see this initiative as a strong signal to the community and markets regarding Optimism’s commitment to strengthening the robustness of its ecosystem.

Currently, the OP token is trading at $0.25, down 4.70% over 24 hours. The circulating market capitalization stands at $487 million, reflecting the project’s importance within the Layer 2 ecosystem.

Financial Stakes and Market Concerns

However, opponents of this proposal express major concerns. They point to the risk of gradual depletion of the protocol’s financial reserves, estimating that channeling 50% of revenues into monthly buybacks could, in the long term, compromise the project’s budget stability. These critics also raise questions about the actual effectiveness of these over-the-counter transactions against market movements, questioning whether such a program would truly produce the expected price impact.

OP Token Perspective and Next Steps

The debate reveals a fundamental tension between two governance approaches: on one side, an active strategy to support the price through regular monthly buybacks; on the other, a cautious management aimed at preserving capital for the protocol’s future needs. The outcome of this vote will have significant implications for Optimism’s trajectory and will set a precedent for other Layer 2 projects considering similar treasury management mechanisms.

OP9,63%

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