Maker ($MKR), the governance token of MakerDAO, surged to near a one-year high price following the introduction of a token buyback program.
The price action occurred as the lending protocol activated a token buyback scheme on Wednesday, removing MKR supply from the market. The so-called Smart Burn Engine periodically allocates excess DAI stablecoins from Maker’s surplus buffer to purchase MKR from a UniSwap pool.
The program was deployed earlier this month, and it went live Wednesday once the surplus buffer exceeded $50 million.
Related: MakerDAO Deployed $MKR Smart Burn Engine Contracts on chain
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