"Decentralized AI Network Sparks Token Scarcity Through Compute-Driven Buybacks"

Spheron, a decentralized compute stack for AI and Web3 applications, has initiated a recurring $SPON token buyback and burn program as part of its broader strategy to create a deflationary cycle. This initiative, launched under its Secure Compute program, marks the first step in what the company describes as a flywheel model linking network activity to token scarcity. On September 4, 2025, the company executed its first buyback, repurchasing 0.625% of the total $SPON supply—approximately $500,000 worth of tokens—at a fully diluted valuation of $80 million. These tokens will be permanently burned upon receipt, reducing the overall supply and reinforcing the deflationary nature of the asset.

The Secure Compute mechanism operates by requiring compute providers to collateralize their GPU resources using $SPON tokens, while also enabling subsidized access for users. This structure allows the Spheron Foundation to capture surplus margins during periods of high demand and allocate those funds toward repurchasing tokens. According to the company, this creates a self-reinforcing cycle in which increased network usage directly contributes to token scarcity and, potentially, increased value for token holders.

Prashant Maurya, co-founder and CEO of Spheron, emphasized the strategic significance of this move. “Our first $SPON buyback demonstrates the tangible link between decentralized compute activity and tokenomics,” he stated. The buyback-and-burn process, Maurya added, aligns the interests of compute providers, developers, and the broader community by ensuring that growth in the network directly benefits all stakeholders.

The company has achieved significant operational scale, operating a global network of over 44,000 nodes spread across 170+ regions. Spheron has facilitated over $100 million in distributed compute capacity and reported $16 million in annual recurring revenue. Its user base includes more than 400,000 members globally. These figures underscore Spheron’s position as a leading decentralized infrastructure provider for AI applications and its ongoing efforts to drive mainstream adoption of community-owned compute networks.

This initiative is not a one-time event but rather the first in a recurring cycle designed to maintain long-term network sustainability. By consistently repurchasing and burning tokens based on network revenues, Spheron aims to create a self-sustaining economic model that rewards providers, supports affordable access for users, and generates value for token holders. The company’s approach also aims to differentiate itself from traditional cloud providers by offering a decentralized, community-driven alternative that leverages real-world products, revenue, and customer bases to drive adoption.

Spheron continues to expand its ecosystem, powering applications for industry leaders such as Gensyn, Kuzco, Open Gradient, and Sentient. As the demand for on-chain AI infrastructure continues to grow, the company’s model positions it to benefit from both technological innovation and economic incentives aligned with its stakeholders.

Source:

[1] Spheron Launches Ongoing $SPON Buyback Program With First Token Burn (https://markets.businessinsider.com/news/currencies/spheron-launches-ongoing-spon-buyback-program-with-first-token-burn-1035114235)