Web3: Venice's VVV token price surged by as much as 12% after the token adjustment.
CoinPedia
07-18 20:00
Ai Focus
Venice incorporated API subscription revenue into its VVV buyback and burn mechanism, causing the token to rise in the short term.
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After the AI project Venice adjusted its token economic model, the platform token VVV surged by over 12%. The core of this update is to directly use API subscription revenue to periodically buy back and burn VVV, creating a more direct link between platform business growth and token demand.

API revenue included in buyback and burn

Venice stated that future API subscription revenue will be used to buy back and burn VVV. This means that, in addition to the existing burning mechanism backed by platform funds, the project has added another source of demand linked to operating revenue.

Unlike common burn methods that rely on treasury grants, this arrangement expands as API subscriptions grow. In other words, as the platform commercializes, the buyback scale may also increase accordingly.

Venice also stated that this part of the operation will be disclosed through a separate destruction board to improve transparency.

Simultaneously increase the SDIEM supply cap.

In addition to the buyback arrangement, the agreement also increased the supply cap of SDIEM from 38,000 to 40,000. The project team stated that this move was to reserve more room for ecosystem expansion while maintaining the updated value accumulation model.

  • API subscription revenue will be used to buy back and burn VVV.
  • The supply cap for SDIEM has been increased from 38,000 to 40,000.
  • The project team stated that they will launch a dedicated panel to track the data destruction process.

Prices rebound and return to focus

Prior to the announcement, VVV had been declining for several weeks. Reports indicate that after retracing from its previous high, the token regained support near its 200-day exponential moving average, and subsequently extended its gains after the new mechanism was announced.

The original text also mentioned that VVV has returned to the upper end of its previous consolidation range in the short term, indicating a recovery in buying pressure. For the market, this rise is both an immediate reaction to the token mechanism adjustment and a reflection of renewed capital focus on certain projects within the AI token sector.

However, the subsequent price range and technical resistance mentioned in the article are mainly market observations. Regarding the event itself, what's more noteworthy is whether Venice can continue to expand its API subscription scale and whether the newly added buyback and burn mechanism can provide stable support.

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