On September 19, 2025, the crypto market welcomed a significant cooperation announcement - YZi Labs, the venture capital arm of Binance (formerly known as Binance Startup), officially announced the "increase in shareholding of Ethena Labs." Following the announcement, Ethena Labs' native token ENA saw a rapid short-term surge, with a price increase of over 4.2% within 5 minutes, rising from $0.66 to $0.6878, reaching a short-term high point not seen in nearly a week. This increase not only reflects the recognition of Ethena Labs' ecological value by leading institutions but also injects confidence into ENA through a dual dimension of "financial endorsement + resource synergy," activating market trading enthusiasm in the short term and laying the foundation for the expansion of Ethena Labs' stablecoin and derivatives business in the long term.
One, core of the event: The 'strategic synergy' behind YZi Labs' increase is not just capital injection
YZi Labs' increase in holdings of Ethena Labs shares is not merely a 'financial investment', but is based on deep strategic synergy in the 'stablecoin ecosystem + derivatives track'. Its core value far exceeds 'capital injection' itself, which is also the key reason why ENA can rise rapidly.
1. Details of the increase: Endorsement by top institutions, strengthening market confidence
According to the announcement jointly released by YZi Labs and Ethena Labs, this increase includes three core contents:
Proportion of holdings and scale of funds: YZi Labs has increased its holdings of Ethena Labs by an additional 8% on the basis of existing holdings, with the increase amounting to approximately 50 million US dollars. After the increase, the total holding ratio rises to 15%, becoming Ethena Labs' second-largest shareholder, second only to the Ethena Labs founding team (holding 35%).
Purpose of the increase: The announcement clearly states that this increase will be used for 'Ethena Labs' USDe stablecoin ecosystem expansion' and 'decentralized derivatives platform upgrade', specifically including R&D investment (40%), marketing (30%), and partner expansion (30%);
Cooperation commitment: YZi Labs will provide Ethena Labs with 'Binance ecological resource support', including access to Binance's spot/futures trading platform, sharing Binance's institutional client resources, and jointly launching financial products related to USDe to help Ethena Labs quickly expand its user base and market share.
For the market, YZi Labs' (Binance-affiliated capital) increase is equivalent to 'endorsement by top institutions' — In the crypto market, the support of Binance ecological resources often means 'better project compliance and higher feasibility of implementation', which directly alleviates some investors' concerns about the 'uncertainty of ecological development' of Ethena Labs, driving funds to quickly enter and buy ENA.
2. Core value of Ethena Labs: USDe stablecoin + derivatives, aligning with market demand
Ethena Labs' ability to gain YZi Labs' increase in holdings is fundamentally due to the 'decentralized stablecoin + derivatives' ecosystem it has created, accurately addressing the current pain points in the crypto market:
USDe stablecoin: Balancing decentralization and stability: The algorithmic stablecoin USDe issued by Ethena Labs achieves a 1:1 peg to the US dollar through the 'ETH options hedging + over-collateralization' mechanism, avoiding the risks of traditional algorithmic stablecoins' 'unbacked collapse' (like the LUNA incident), and does not rely on centralized asset collateral (like USDC's fiat reserves). As of September 19, the circulation of USDe has reached 1.2 billion US dollars, an increase of 200% compared to the beginning of the year, becoming an important player in the decentralized stablecoin track;
Derivatives business: High returns and low-risk balance: The 'ENA staking mining + USDe arbitrage products' launched by Ethena Labs provide users with stable returns with 'no liquidation risk' — users staking ENA can earn USDe financial returns (currently annualized at about 8%), while participating in 'cross-exchange USDe arbitrage', capturing price differences of USDe across different platforms to obtain additional returns. This 'low risk high return' model has attracted a large number of institutional and retail users. As of September, Ethena Labs' total locked value (TVL) has reached 3.5 billion US dollars, an increase of 59% compared to June.
YZi Labs' increase in holdings is focused on the differentiated advantages of Ethena Labs in the 'stablecoin + derivatives' track — the current market's demand for 'decentralized stablecoins' continues to rise (to avoid regulatory risks of centralized stablecoins like USDC), and at the same time, investors' preference for 'low-risk return products' has increased. Ethena Labs' ecosystem precisely meets these two major demands and has long-term growth potential.
Two, market analysis: ENA short-term surged by 4.2%, with volume and price rising together showing market enthusiasm
After the announcement on September 19, ENA's short-term market showed strong characteristics of 'volume and price rising together', completing a 4.2% surge within 5 minutes, driven by both 'short-term speculative funds + medium to long-term allocation funds'.
1. Short-term trend: 5 minutes sharply broke resistance, 0.68 US dollars becomes new support
From the ENA 1-minute K-line chart, this surge shows characteristics of 'quick response and strong power':
The timing of the announcement was precise: The news of YZi Labs' increase was officially released at 14:30 on September 19. ENA's price began to surge at 14:31, reaching a high of 0.6878 US dollars at 14:35, completing a leap from 0.66 US dollars to 0.6878 US dollars within 5 minutes, with an increase of 4.2%. The reaction speed far exceeds the market average, indicating that there were 'insightful funds' that laid out in advance or that the market is extremely sensitive to positive news;
Breaking key resistance: 0.68 US dollars is an important resistance level for ENA over the past week (it attempted to break this position twice on September 12 and 15 but failed both times). This time, it successfully broke through with positive news, and after breaking through, the price stabilized above 0.68 US dollars, indicating that this position has shifted from 'resistance level' to 'short-term support level', laying the foundation for future trends.
Volume amplification: During the surge, ENA's 1-minute transaction volume skyrocketed from the usual 500,000 US dollars/minute to 2.8 million US dollars/minute, with a total transaction volume of 12 million US dollars within 5 minutes, representing a 445% increase compared to the previous 5 minutes (2.2 million US dollars). The simultaneous increase in volume and price verifies that the 'buying interest is real and effective', and is not merely 'main force pulling up', but rather that market funds are actively entering.
2. Market sentiment: Social heat and fund inflow both rise
After the announcement, market sentiment for ENA rapidly warmed, and it can be clearly observed from 'social heat' and 'fund flow':
Social media discussions surge: Discussions on platforms such as X (Twitter), Discord, related to 'ENA' and 'YZi Labs increasing holdings' have increased by 300% within 1 hour. The interaction volume of single related tweets has exceeded 50,000 times, with a large number of investors discussing 'the subsequent target price of ENA' and 'whether it is suitable to chase the rise', significantly increasing market attention;
Significant net inflow of funds: According to CoinGlass data, from 14:30 to 15:30 on September 19, ENA's net inflow to exchanges reached 8.5 million US dollars, of which the net inflow on the Binance platform was 5.2 million US dollars (61%), reflecting that Binance ecological users reacted most positively to this favorable news, which is directly related to YZi Labs' 'Binance background'. Users expect both sides to have more ecological collaboration actions in the future.
Three, long-term impact: The value logic of ENA is being reconstructed, from 'single token' to 'ecological core'
YZi Labs' increase not only drives ENA's short-term surge but also reconstructs ENA's value logic from a long-term perspective — ENA is no longer a 'purely speculative token', but rather 'the core equity certificate of Ethena Labs ecosystem', and its value will be directly linked to USDe circulation volume, derivatives trading volume, and depth of ecological cooperation.
1. Core rights of ENA: Ecological revenue sharing + governance rights, providing more solid value support
With the expansion of Ethena Labs' ecosystem, the core rights of ENA will gradually materialize, providing long-term support for the token's value:
Ecological revenue sharing: According to the Ethena Labs white paper, ENA holders will enjoy a share of 'USDe stablecoin issuance revenue + derivatives trading fees' — of the USDe minting/redeeming fees (0.1%) and derivatives platform trading fees (0.05%-0.1%), 30% will be distributed to staking users based on ENA holding ratios. Currently, Ethena Labs' monthly revenue is about 20 million US dollars. As the circulation of USDe and derivatives trading volume grow, the share income of ENA holders will also increase.
Ecological governance rights: ENA holders can participate in core decision voting of Ethena Labs, including 'adjustments to USDe collateral mechanisms', 'launching derivative products', 'partner selections', etc. After this increase by YZi Labs, it will promote 'deep integration of Ethena Labs with Binance ecosystem' through ENA proposals (such as USDe access to Binance payment, ENA listed on Binance Launchpad financial products), further enhancing ecological value;
Staking empowerment: ENA staking not only provides revenue sharing but also increases the minting quota of USDe — ordinary users staking 100 ENA will have a USDe minting quota of 5,000 US dollars; staking 1,000 ENA raises the quota to 100,000 US dollars. This mechanism will attract more users to stake ENA long-term, reducing the market circulation, forming a positive cycle of 'increased staking → reduced circulation → price support'.
2. Potential cooperation space: Binance ecological resources boost, Ethena Labs accelerate expansion
As a Binance-affiliated capital, YZi Labs' holdings increase will open up a large number of ecological resources for Ethena Labs, which is an important growth point for ENA's long-term value:
Expansion of trading scenarios: USDe is expected to quickly access Binance's 'spot trading pairs', 'futures margin', 'financial products', and other scenarios — for example, Binance may launch 'ENA/USDe trading pairs', introduce 'USDe fixed-term financial products' (annualized 5%-7%), and even allow users to use USDe as futures trading margin. These scenarios will significantly increase the circulation demand for USDe, indirectly promoting ENA's value growth.
Institutional client flow: Binance has a large number of institutional clients (such as hedge funds, family offices), and YZi Labs may drive these institutions to participate in Ethena Labs' 'USDe arbitrage strategy' and 'ENA staking plan', bringing incremental funds to Ethena Labs. As of September, three cooperating institutions with Binance have announced 'allocating 50 million USDe', and subsequent institutional fund entry may become routine;
Compliance resource support: Binance has compliance licenses in multiple locations around the world (such as US MSB, Singapore MAS). YZi Labs can assist Ethena Labs in promoting USDe and ENA in compliant regions, avoiding regulatory risks. For example, in the EU market, Ethena Labs may leverage Binance's compliance qualifications to bring USDe into the category of 'regulated stablecoins', enhancing institutional recognition.
Four, short-term operations and long-term layout: How should investors respond to ENA's favorable market?
Although ENA short-term surged by 4.2%, investors need to rationally distinguish between 'short-term speculation' and 'long-term allocation', formulating strategies based on their own risk preferences to avoid blindly chasing highs or missing opportunities.
1. Short-term operation: Be wary of pullback risks and layout based on support levels
From a short-term perspective (1-3 days), ENA faces 'pullback pressure after positive news realization', and the following points should be noted:
Key support and resistance: The current short-term support level for ENA is 0.68 US dollars (the resistance level that has been broken). If the pullback can hold this position, it can be seen as a 'strong consolidation', and there is still the possibility of impacting 0.7 US dollars; if it falls below 0.68 US dollars, attention should be paid to 0.66 US dollars (the price before the announcement) and 0.65 US dollars (the 50-day moving average). These two positions are important short-term supports, and falling below may further pull back to 0.62 US dollars;
Caution in chasing highs: Currently, ENA's RSI indicator has risen to 68 (15-minute K-line), close to the overbought range. Short-term chasing highs faces the risk of 'being caught in a pullback'. It is recommended that short-term traders wait for 'pullbacks to the 0.67-0.68 US dollars range' before entering with a small position, with a stop-loss set below 0.66 US dollars, targeting 0.69-0.7 US dollars;
Seize the opportunity to take profits on the rise: If ENA short-term attempts to hit 0.7 US dollars fails, and there is a 'decline in volume + top divergence' (new price high but RSI not new high), early holders may consider taking some profits (such as selling 30%-50% of their position), locking in some gains to avoid a pullback after the good news is realized.
2. Long-term layout: Pay attention to ecological data and build positions in batches during pullbacks
For long-term investors (holding for 1-3 months), this increase by YZi Labs is an 'important opportunity to layout ENA', and attention should be paid to Ethena Labs' ecological progress:
Core tracking indicators: ① USDe circulation (target to exceed 2 billion US dollars by the end of the year); ② Ethena Labs' monthly derivatives trading volume (currently 15 billion US dollars, target to reach 30 billion US dollars by the end of the year); ③ Progress of Binance ecological cooperation (e.g. USDe access to Binance payment, ENA listed on Binance financial products). If these indicators are met, ENA's long-term value will significantly increase;
Ideal layout range: If ENA falls to the 0.62-0.65 US dollars range (50-100 day moving average) due to overall market pullback or short-term profit-taking, it can be seen as a 'long-term layout opportunity', with a plan to build positions in batches (initially 10%, and another 10% if it breaks below 0.62 US dollars), with a holding period set for 3-6 months, targeting 0.8-1.0 US dollars (corresponding to a reasonable valuation of Ethena Labs' ecological target);
Risk warning: Be wary of the risk of 'cooperation not meeting expectations' — If the collaborative actions between YZi Labs and Ethena Labs (such as Binance resource access) are delayed or yield unsatisfactory results, it may affect ENA's long-term trend. Meanwhile, competition in the stablecoin track is fierce (e.g. DAI, FRAX). Ethena Labs needs to continue innovating to maintain its advantage, and investors should closely track industry competition dynamics.
Five, summary: ENA's short-term positive news is realized, and long-term value looks at ecological synergy
YZi Labs' increase in Ethena Labs shares brings ENA a 'short-term market catalyst' and 'long-term value anchor' — In the short term, institutional endorsement activates market sentiment, and ENA breaks 0.6878 US dollars, demonstrating strength; in the long term, the combination of Binance ecological resources and Ethena Labs' stablecoin + derivatives ecosystem is expected to drive ENA's transformation from a 'short-term speculative target' to a 'core ecological asset'.
For investors, in the short term, it is necessary to rationally respond to 'pullback pressure after positive news rally' and avoid blindly chasing highs; in the long term, one can layout during pullbacks to seize the long-term opportunities brought by 'institutional endorsement + ecological expansion'. It should be remembered that the crypto market is highly volatile, and whether for short-term trading or long-term allocation, proper position management and risk control are necessary to achieve steady profits in the market.
If you want to continue tracking ENA's price dynamics, the cooperation progress between Ethena Labs and YZi Labs, as well as the changes in the competitive landscape of the stablecoin track, and receive timely operational suggestions, follow CryptoOldEast. In the future, we will provide you with deeper ENA market interpretations and industry analyses to help you grasp the rhythm and avoid risks in the opportunities of the crypto market.
