Key Highlights
- ENA experienced a 23% price increase within a 24-hour period, reaching approximately $0.16–$0.17, with weekly gains showing a 100% increase
- The Foundation completed an acquisition of vested tokens from initial seed round participants who had previously liquidated ENA positions over a nine-month period
- Scheduled monthly token releases for venture capital investors have been eliminated to decrease downward price pressure
- Community members are currently voting on a proposal to implement protocol revenue-based token buybacks
- Within two months of deployment, USDe has accumulated over $320 million on Robinhood Chain, representing 42% of the network’s stablecoin market share
The ENA token from Ethena experienced a remarkable 23% surge on Thursday following the Foundation’s announcement of significant changes to its token distribution model. This upward movement coincided with positive momentum across cryptocurrency markets, as Bitcoin climbed past the $80,000 threshold.
At press time, ENA was changing hands in the $0.16–$0.17 range. Over the preceding week, the token’s value has effectively doubled.
According to the Foundation’s disclosure, it successfully acquired all remaining locked allocations from specific major seed round participants who had been liquidating their ENA holdings throughout the previous nine months. This acquisition targeted investors controlling greater than 0.25% of the overall token allocation. All purchases were conducted through over-the-counter channels during the preceding two-week window.
This strategic acquisition addresses persistent market concerns regarding the recurring monthly token releases that historically created downward price pressure on ENA. Through elimination of these predetermined token distributions, the Foundation seeks to minimize the volume of new supply entering circulation on a monthly basis.
Core team allocations remain unchanged. These tokens continue to be subject to their initial vesting parameters.
Protocol Revenue Driving Token Purchases
Token holders are currently reviewing a governance initiative that would activate a “fee switch” mechanism. This framework would allocate net earnings generated across all Ethena-related business operations toward systematic ENA token acquisitions from the open market.
The buyback allocation would increase progressively as USDe achieves predetermined supply benchmarks. Upon USDe reaching $7.5 billion in total circulation, the protocol would direct 95% of net earnings toward token repurchases, while allocating the remaining 5% toward ecosystem expansion initiatives.
Additionally, the Ethena Foundation and Ethena Labs have established preliminary terms for a Master Framework Agreement. This arrangement would transfer substantially all intellectual property rights and economic benefits derived from the Ethena protocol to the Foundation and token holders, rather than equity stakeholders in the Labs organization. Full documentation of this agreement is anticipated for release in October.
Rapid USDe Adoption on Robinhood Chain
Industry analyst Mesh, referenced by prominent crypto analysis account Wu Blockchain, highlighted that USDe’s rapid expansion on Robinhood Chain resulted from strategic infrastructure implementation and Steakhouse Financial’s selection of Ethena as the principal collateral provider for Robinhood Earn. Approximately 62–65% of capital within the Steakhouse USDG Vault was allocated to the USDe/USDG Morpho lending market.
According to data from Token Terminal, USDe has surpassed $320 million in total value on Robinhood Chain in merely eight weeks since deployment, currently comprising 42% of all stablecoin liquidity on the network.
Notwithstanding this week’s impressive performance, ENA continues to trade more than 15% below its year-to-date opening price. Earlier this week, the Chicago Mercantile Exchange incorporated Ethena into its suite of single-asset digital currency reference rates.
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