The Hyper Foundation has just made a proposal to hold a vote of validators to officially recognize that the amount of HYPE in the Hyperliquid Protocol Relief Fund address is permanently inaccessible.
If the proposal is approved, this token amount will be removed from the circulating supply and will no longer be considered a valid asset in the system. I see this as quite positive for token $HYPE
You can think of this move like burning tokens: the tokens are not technically burned on-chain but are confirmed to never return to the market.
In terms of meaning for the token, it is slightly optimized compared to the usual token burn.
Transparency about the actual total supply helps me avoid confusion when pricing or analyzing tokenomics
Reduce potential supply pressure in the long term for HYPE
This move also shows a rather cautious approach from the team in standardizing supply data, especially after previous support and rescue mechanisms from Hyperliquid.
If approved by the validator, this will be a structural change, not creating an immediate short-term price effect but having a positive long-term significance and trust in the ecosystem.