Ethena’s ENA Soars to 7-Month Peak on Binance Listing, Sparking $500M Buyback Frenzy
ENA rockets to highest since February as Binance listing ignites bullish momentum.
The Catalyst
Binance's stamp of approval sent institutional and retail traders scrambling for position—nothing gets money flowing like exchange validation.
Buyback Speculation Heats Up
That proposed $500 million treasury allocation isn't just talk—it's shaping up to be one of DeFi's most aggressive token sink mechanisms. Because what says 'confidence' better than buying your own asset at a premium?
Market Mechanics at Play
Liquidity meets narrative—traders are betting the buyback will create structural demand in a market starving for organic buying pressure. Another day, another token engineering its own rally.
Ethena catalysts
Besides the listing, there's been a lot going for Ethena recently.
Ethena's USDe token mushroomed to nearly $13 billion from $5.5 billion in-mid July as crypto investors chase yields. USDe, marketed as a "synthetic dollar," uses Bitcoin (BTC), ether (ETH) and Solana's SOL (SOL) as backing assets, pairing them with an equal value of short perpetual futures positions.
The strategy generates revenue on its backing derivative assets when the perpetual funding rates are positive and passes on some of the income as yield to investors. USDe currently pays out 6.5% annualized yield for those who stake their tokens, higher than traditional money market funds and USDC, USDT lending rates on DeFi lender Aave.
Ethena is also taking part in the digital asset treasury fever that's captivating stock markets. StablecoinX and TLGY, two firms about to merge and get listed on Nasdaq, raised $530 million to accumulate ENA tokens as a public vehicle.
The protocol also participate in the booming stablecoin issuance business. It's launching the native stablecoin for ethereum scaling network MegaETH and hinted at entering the competition to issue popular derivatives exchange Hyperliquid's upcoming stablecoin.
