I’m amazed at what Balancer is doing. It’s shutting down its labs and rolling out a completely new model for the BAL token. After that major exploit in November, more than (100 million dollars had gone missing, and this decision was made due to legal pressure. Founder Fernando Martinelli said that it is no longer feasible to maintain the corporate entity.

The biggest change is that BAL emissions will be completely halted. The veBAL governance system has been canceled, and the liquidity incentive program has ended. Instead, a massive buyback and burn plan is coming—about 35% of the BAL supply will be removed over time. This move also includes compensation for previous veBAL holders.

The main problem was that the protocol was generating more than $1 million in fees every year, but it couldn’t maintain the token’s price. The continuous issuance of BAL created selling pressure. In addition, big players had an outsized influence on decisions like )Aura Finance, which was throwing the ecosystem off balance.

Now, BAL is trading around $0.15 in price. Support is near $0.126 on the downside, and resistance is at $0.1785 on the upside. Outside this range, $0.20 will be a key psychological level. The biggest question is whether this restructuring will work. If the buyback program is carried out effectively, it could provide a strong foundation for BAL’s price. However, success in implementation will determine everything.