Solana News Today: Orca DAO Launches 24-Month Buyback and Solana Staking Strategy

Orca DAO has introduced a comprehensive treasury strategy on August 7, 2025, aimed at boosting protocol value through Solana staking and ORCA token buybacks. The proposal involves staking 55,000 SOL from the DAO’s treasury into an Orca Validator node and implementing a 24-month buyback program using a combination of SOL and USDC assets. This initiative seeks to enhance Solana network security, reduce ORCA’s circulating supply, and create long-term value for token holders [1].

The staking component aligns Orca DAO more closely with the Solana ecosystem by contributing to the network’s decentralization and stability. By locking a significant amount of SOL into a validator, the DAO not only secures additional staking rewards but also ensures that unused treasury assets are put to productive use. These rewards could then be reinvested into further development or additional buybacks, forming a cycle of growth and value creation [1].

The buyback program is structured to minimize market impact through carefully timed purchases. The DAO will use its treasury holdings—approximately 55,000 SOL and $400,000 in USDC—to repurchase ORCA tokens, which can be burned, distributed as staking rewards, or allocated to ecosystem projects. This flexibility allows the DAO to adapt to market conditions and optimize the utility of repurchased tokens while maintaining transparency through quarterly reports on purchases, treasury balances, and average buy prices [1].

This proposal follows a previous initiative in April 2025 that included a 25% supply burn and $10 million in buybacks, which led to a 76.8% price increase for ORCA. The latest plan extends the deflationary strategy by introducing a longer buyback period and staking-based revenue, reinforcing the DAO’s commitment to token value appreciation and community incentives [1].

The proposal is currently under a five-day on-chain vote, with a two-day cooldown period allowing token holders to submit a veto if desired. Once approved, the Council will execute the strategy, with all relevant wallets and transactions made available on-chain for public scrutiny [1].

Orca’s approach reflects a broader trend in DeFi where protocols actively use treasury assets to enhance network security and align with underlying blockchain ecosystems. The strategic use of staking and buybacks demonstrates a forward-thinking model that supports both immediate and long-term value creation. If executed effectively, the proposal could enhance the utility of the ORCA token and strengthen the DAO’s position in the evolving Web3 landscape [1].

Source: [1] Orca DAO Proposal Unveils Revolutionary Solana Staking (https://bitcoinworld.co.in/orca-dao-proposal-boosts/)