Covalent has introduced the Covalent Strategic Reserve, a multi-year initiative designed to secure approximately 10% of the CXT token supply. This reserve is funded through both onchain and offchain revenue streams, incorporating periodic CXT buybacks. Any future outflows from the reserve will be subject to governance votes.
In 2025, Covalent executed substantial buybacks, repurchasing over 17 million CXT through offchain revenue-backed transactions. Additionally, 9.05 million CXT were removed from circulation via daily automated onchain buybacks, underscoring the company's commitment to strengthening its tokenomics.
Covalent Launches Strategic Reserve with Significant CXT Buybacks
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