Helium pursues deflationary tokenomics with HNT burns
Helium plans to channel 100% of mobile subscriber revenues into HNT token burns starting this week. The move, announced by CEO Amir Haleem, redirects an estimated $2.3 million in monthly offchain revenue from Nova Labs into the HNT ecosystem. Coupled with a recent emission halving that reduced annual HNT emissions from 15 million to 7.5 million, these measures aim to accelerate deflationary tokenomics for HNT. Helium’s native SPL token migrated to Solana in April 2023. The network supports about 1.1 million daily users across 108,850 hotspots. By burning tokens equivalent to mobile revenues and halving emissions, Helium could drive a net deflationary effect. These deflationary tokenomics signal a new phase of supply reduction for HNT.
Bullish
Helium’s initiative to burn HNT tokens equivalent to mobile revenues, combined with a 50% emission halving, creates immediate deflationary pressure on HNT supply. Historical precedents—such as Bitcoin’s halving cycles and token burn events in the BNB ecosystem—have often preceded bullish market trends. In the short term, traders may see heightened volatility around implementation details. However, the enhanced scarcity from deflationary tokenomics is likely to support HNT prices over the long term, fostering bullish sentiment among investors.