Helium Network’s Q3 Explosion: Token Burns, Record Revenue, and What’s Next
Helium (HNT) reported significant growth in Q3, achieving $18.3 million in annualized revenue by burning 100% of its MVNO subscription revenue. Daily Data Credit burns increased 196.6% QoQ, and daily mobile paid traffic rose 57.3% QoQ to 32.4 terabytes. Unique cell phone users grew 35.4% QoQ, reaching 1.2 million per day. The network passed HIP 147, increasing HNT rewards for data-transferring hotspots from 40% to 60%. HNT’s circulating market cap rose 9.1% QoQ to $453.9 million, while the token price increased 7.8%. The network adopted a burn mechanism linking HNT’s value to network utility and repurchased 5.7 million tokens. Helium Plus was launched to drive adoption, and price consolidation around $2.30 suggests a potential breakout in the future.
Layer-1
Wireless Networks
Record-Breaking Growth for Helium in Q3
Helium (HNT) has achieved an explosive quarter, showcasing record-breaking growth across network usage and financial metrics. According to Messari analyst Matthew Nay, Helium generated an annualized revenue of $18.3 million, influenced significantly by its decision to burn 100% of its MVNO subscription revenue. This strategic action led to an astonishing 196.6% QoQ increase in average daily Data Credit (DC) burns, reaching $30,920.
Impressive Growth in Network Activity
Helium's network usage data is also highly impressive:
- Helium hotspots processed over 8.5 petabytes of data, equivalent to nearly half the size of the Library of Congress.
- Daily mobile paid traffic surged 57.3% QoQ, reaching 32.4 terabytes.
- Unique cell phone connections grew by 35.4% QoQ, reaching 1.2 million per day.
Additionally, the passing of HIP 147 increased the share of HNT emissions allocated to data-transferring hotspots from 40% to 60%, further incentivizing network activity.
Stronger Token Economics and Emission Control
Helium implemented significant measures to strengthen HNT's tokenomics:
- The circulating market cap increased 9.1% QoQ, reaching $453.9 million.
- The token price rose 7.8% QoQ, from $2.26 to $2.44.
- The third halving event under HIP-20 reduced annual emissions from 15 million HNT to 7.5 million HNT, effectively introducing a deflationary mechanism.
Helium's burn mechanism ties HNT value directly to network utility, creating consistent buy pressure and reinforcing a deflationary loop.
Strategic Initiatives and Transparency Efforts
In Q3, Helium adopted additional strategic initiatives to boost its ecosystem:
- Repurchased 5.7 million HNT tokens from an early investor.
- Committed to enhancing transparency with plans to introduce a reporting mechanism for off-chain revenue.
Looking ahead, the expected launch of Helium Plus could accelerate adoption, further solidifying the network’s position in the market.
HNT Price Analysis: Consolidation and Potential Breakout
Currently, HNT is trading around $2.30, consolidating within a descending triangle. Key technical indicators include:
- Upper resistance line at $2.63, with major resistance at $3.56.
- Breakout above this resistance could target $5.50 and potentially $10.
Meanwhile, the RSI sits at 43.5, and tightening Bollinger Bands suggest an impending volatile move. Failure to sustain above $2 may push HNT price down to the $1.69 accumulation zone.
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