How Can a DAO Use a Token Buyback Program to Counteract Vesting-Related Sell Pressure?

A token buyback program involves the DAO treasury using its non-native assets (e.g. stablecoins or ETH) to purchase its own native tokens from the open market. This action creates demand, absorbs the excess supply hitting the market from vesting unlocks, and reduces the circulating supply.

By strategically timing buybacks to coincide with major vesting unlock events, the DAO can stabilize the price and mitigate the anticipated sell pressure.