Ethena (ENA) is trading around $0.75 after gaining nearly 12% on the day, following a new $530 million funding announcement from StablecoinX. This marks one of the highest trading levels for ENA in the past month, although the token remains below its August peak.
The price increase comes as StablecoinX expands its ENA treasury strategy, bringing total PIPE (private investment in public equity) financing commitments to approximately $895 million. According to official communications, these funds are being used to accumulate large amounts of ENA tokens.
Buyback Program to Affect Circulating Supply
The Ethena Foundation has confirmed that a subsidiary will use part of the new capital to conduct an estimated $310 million buyback over the next 6 to 8 weeks. The purchases will be carried out via third-party market makers.
At current prices, the buyback – combined with the liquid ENA contributed to the PIPE by third-party investors – represents roughly 13% of the circulating supply. This follows an earlier buyback campaign, which acquired approximately 7.3% of the circulating supply over a six-week period.
The Foundation stated that the buyback schedule will depend on price action. If ENA trades above $0.70, the daily purchase limit will be $5 million. If the price falls below $0.70 or drops more than 5% in 24 hours, the limit increases to $10 million per day.
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Context and Broader Impact
The buyback program and treasury expansion come as Ethena’s USDe stablecoin continues to grow. According to third-party data, USDe recently reached $12.6 billion in supply, making it the third-largest stablecoin after USDT and USDC. Ethena’s protocol revenue has also surpassed $500 million, supported by its hedging-based model for maintaining stablecoin value.
Ethena’s recent activity positions it as one of the more active projects in the stablecoin sector, and the scale of the planned ENA buyback is among the largest currently announced for a non-exchange token.
