TON Strategy Buyback Plan: 250M Share Repurchase and Staking Explained

The first Nasdaq listed company to adopt Toncoin as a main treasury reserve, Ton Strategy, is making big moves to strengthen investors confidence. The firm has announced the start of a massive $250 million share buyback program and the launch of staking operations for its Toncoin reserves.

Why the TON Strategy Buyback Plan Matters

A share buyback is when a company repurchases its own shares from the open market in order to generate scarcity that could lead to the price surge of the remaining shares if done in a right time.

The Plan includes purchasing of over 250,000 shares at an average price of $8.32 per share. The interesting part is that the company’s Treasury Asset Value (TAV) stood at $12.18 per share on Sept. 11. Since the value of the shares below, management is signaling that the stock is undervalued and worth more than its current trading price.

TON-Strategy’s Stock Still Under Pressure

Despite the buying news, its stocks fell 7.5% on Friday and are now facing a 2% more dip, as total 9.2% down. Since adopting Ton coin as its treasury reserve asset, the company’s shares price has fallen 21.6%. The gradual downfall mirrors the Toncoin itself, which has lost 40.7% year-yo-date.

This raises the big question – Can buybacks and staking help lift the company’s stocks, or will market challenges continue to weigh it down?

Source: Google Finance

Staking to Generate On-Chain income

Alongside the repurchasing plan, the firm has also started staking its Toncoin holding. Through this, holders lock their crypto coins into the network, and help in blockchain security and transaction processing with an additional earning through rewards.

According to staking-rewards data, the TON network has 340 active validators currently, with 4.8% annual yields. With the staking-initiative, the firm aims to add a steady income source to its business model.

Outlook: Can Buybacks and Staking Offset Weakness?

TON Strategy is trying to reassure investors by showing it can actively manage its capital. Buying stocks below asset value and staking reserves are moves designed to prove discipline and long term strength.

However, with Toncoin continuously facing downs in 2025 and competition in the treasury sector is heating up, it is tough to say whether these steps will be enough to flip the company's falling share price in the upcoming times.