Sky completes first SKY token burn after buying back 2.86 million from the open market

Sky said it has completed its first burn of the SKY token, marking the project’s initial removal of tokens from circulation through a buyback. According to the team’s post on X, the protocol used 5% of its monthly net protocol surplus to repurchase 2.86 million SKY on the open market. Those tokens were then permanently burned. The disclosure ties the buyback directly to protocol earnings for the month rather than describing it as a separate treasury action. Sky said the repurchased tokens have been permanently removed from circulation, making the transaction both a market buyback and a supply reduction event. The announcement did not include extra operational details beyond the amount repurchased, the share of monthly net surplus used, and the fact that the burn has already been completed.