Privacy infrastructure Nym Technologies plans to repurchase $1 million of NYM

a16z-backed privacy infrastructure Nym Technologies will buy back $1 million worth of NYM tokens in an effort to limit supply and bolster the company’s coffers.

“This buyback is not just about developing a financial strategy, but about preparing for growth,” Nym CEO Harry Halpin said in a statement.

According to The Block’s data page, there are currently about 803 million NYM tokens in circulation (out of a total of 1 billion), trading at around $0.06. NYM is up more than 7% in 24 hours. NYM is used to incentivize node operators, staking, governance, and participate in the network’s hybrid proof-of-stake consensus mechanism.

This initial buyback will also serve as a “trial run” for a “permanent NYM buyback,” which will grow as NymVPN (expected to launch in mid-December) develops. In addition to rewarding network operators, the funds from the buyback will be used for marketing efforts and expanding Nym’s technology stack.