As an early participant actively involved in the Ethena Converge ecosystem, the "ENA strategic reserve listed company" indeed greatly boosts holders' confidence, but after carefully reading the press release, I found several interesting topics (questions).
StablecoinX
StablecoinX will merge with the special purpose acquisition company "TLGY", and the new company name will be "StablecoinX Inc.", with stock code "USDE".
Investment amount: Total $360 million, $260 million in cash + $100 million in discounted ENA. Funding sources include $60 million from the Ethena Foundation and venture capital firms such as Dragonfly, Blockchain.com, and Pantera.
Purchase details: $260 million in cash will be used to buy discounted locked ENA from a subsidiary of the Ethena Foundation, and $100 million is itself discounted ENA.
Although Guy, the founder of Ethena, has tweeted that too many tokens were allocated to institutions during the financing phase and hopes to buy back the tokens, the establishment of StablecoinX seems to once again include institutional investors, and they can obtain tokens at a "discounted" price.
Will this be a disguised institutional financing?
This answer may require more disclosure of investment detail information to know, but interestingly, the Ethena Foundation has the authority to veto StablecoinX's decision to sell tokens.
Influence of StablecoinX $ENA reserves
According to official information, starting from July 21 for a period of six weeks, $5 million will be purchased daily, completing a purchase plan of $260 million, which will acquire about 8% of the current ENA circulating supply.
From StablecoinX's official Twitter, it appears that expected earnings may include: staking rewards, airdrop rewards, and potential distributions, which makes me curious:
Will the ENA reserves of StablecoinX participate in the sENA airdrop points battle?
According to DeBank's ENA data, the pool deposits of Staked ENA amount to about $500 million. If in the future StablecoinX's token reserves can earn airdrop points, it will be a big player in the distribution of airdrop points.
*According to press release information, selling, lending, staking, or other dispositions of the acquired ENA tokens require approval from the Ethena Foundation.
Summary
In theory, StablecoinX acquiring ENA as a strategic reserve can reduce the amount of tokens circulating in the market, as long as they do not sell.
From this perspective, using airdrops or staking to compensate for unrealized earnings that cannot be sold is reasonable. The key is: will the majority of the airdrop earnings be divided, such as in the Converge ecosystem's Strata, Terminal, Ethereal?
But I'm not quite sure if StablecoinX can earn airdrop rewards through sENA. What do you think?
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*Ethena code:
eu54u
The above content does not constitute investment advice. Users should operate based on their own risk tolerance. Please DYOR and participate in the investment market with caution.
*The attached images include self-made images and those from DeBank, StablecoinX, TLGY