MegaETH Foundation completes first MEGA purchase using USDm rewards
TLDR
The MegaETH Foundation completed its first MEGA purchase on May 7, using USDm of net rewards through April.
The current USDm stablecoin supply stands at $480 million, which is to fund the MEGA token return program.
Future MEGA purchases follow a set schedule without any manual decisions or market timing involved.
Onchain implementation is powered by MegaETH's own DeFi protocols once the infrastructure is ready.
The MegaETH Foundation completed its first purchase of MEGA on May 7, using net rewards from the USDm stablecoin issuer until the end of April. The current supply of US dollars has reached 480 million dollars.
This move marks the launch of a structured redemption program directly linked to the use of Statcoin. The foundation did not disclose the exact amount of the refund. Future purchases are planned to be made by program and by Onchen.
The return program aims to preserve the value in the MegaETH ecosystem.
The return program is designed to stop value from leaving the MegaETH economy. Rewards are recycled back into the ecosystem instead of giving to shareholders outside of Stablecoin. This approach directly links USDm usage to MEGA token demand.
MegaETH posted on X, “The use of USDm prevents value from flowing to other stablecoin issuers, and is used back into the MegaETH economy instead of the Stalkcoin shareholders' pockets. This economic model is self-sustaining over time.”
MegaETH is an Ethereum layer-2 network built for fast consumer applications. USDm supply increased from $63 million to approximately $439 million following the launch of the network. That rapid growth provided the prize pool used in this first purchase.
The Foundation also clarified that USDm is not issued or operated by the MegaETH Foundation or MegaLabs. Funds available for each payback period will vary based on USDm supply levels and current earnings on pending assets.
Schedule future purchases automatically, Onchain
Going forward, the foundation plans to completely eliminate manual decision making from the refund process. According to their announcement, “There will be no elections at the Foundation, no attempts to outperform the market. Instead, funds will follow a predetermined schedule.”
The group intends to execute future purchases directly on MegaETH's own DeFi protocols. This means transactions are done on-chain using the network's own markets. The stated goal is to support MegaETH's DeFi ecosystem and allow capital to circulate within the chain.
The foundation for this transition to onchain execution is first setting up the necessary operational infrastructure.
Once the spot is reached, the return mechanism works without manual intervention, adding consistency to MEGA token demand.
MegaETH launched the MEGA token last Thursday after completing a seven-day countdown to onchain performance milestones.
According to CoinGecko data, at the time of writing, MEGA was trading at approximately $0.13, up about 6% in the previous 24 hours.
