What is Ethena?

Ethena is a synthetic monetary protocol built on the Ethereum platform, aimed at providing a native cryptocurrency solution independent of traditional banking infrastructure. It operates by using derivative tools to create the USDe stablecoin pegged to USD while also providing a USD savings tool called Internet Bonds.

What is Ethena Coin (ENA)?

ENA is the native utility token of the Ethena protocol. It is used for the following purposes:

  • Governance: ENA holders can participate in the governance of the Ethena protocol by voting on proposals.

  • Rewards: ENA holders earn rewards in the form of interest from Internet Bonds.

  • Fees: ENA is used to pay for services on the Ethena protocol.

Ethena's Products

Here are some of Ethena's products including:

1. USDe

USDe is a synthetic stablecoin built on the Ethereum blockchain, pegged to USD and backed by over-collateralized assets using liquidity staking tokens (LST) such as stETH, rETH, etc.

Users can mint USDe by collateralizing LST, then can use USDe like any other stablecoin in the DeFi ecosystem, for example: trading, lending, borrowing, etc.

USDe offers several advantages over traditional stablecoins, including:

  • Staking Returns: Users earn returns from staking LST as collateral for USDe.

  • Capital Efficiency: Users can borrow USDe by collateralizing LST, then use USDe to earn additional profits.

  • Compatibility: USDe is an ERC-20 token, meaning it is compatible with many dApps and DeFi protocols.

2. Internet Bonds

Internet Bonds are a USD savings tool built on the Ethena protocol, allowing users to earn attractive interest on their USDe.

Internet Bonds have a fixed term and pre-determined yield before purchase.

Users can purchase Internet Bonds using USDe and receive payment in USDe upon maturity.

3. Shards

Shards are the utility tokens of Ethena. Users can earn Shards by participating in the Ethena ecosystem, such as staking USDe or using USDe in DeFi applications. Shards can be used to discount transaction fees on Ethena and participate in protocol governance.

Where to buy and sell Ethena (ENA) Coin?

Currently, you can buy and sell ENA Coin on the cryptocurrency exchange Binance.com, which is currently the best exchange for trading ENA and other coins & tokens.

Anyone intending to buy ENA can register an account on this exchange to trade.

Registration link for Binance and purchasing ENA Coin:

https://accounts.binance.com/register?

Ethena Tokenomics

Basic Information about Ethena:

  • Name: Ethena

  • Trading Name: ENA

  • Type: Utility Token

  • Platform: Ethereum ERC20

  • Contract: 0x57e114B691Db790C35207b2e685D4A43181e6061

  • Maximum Supply: 15,000,000,000 ENA

  • Circulating Supply: 1,520,312,500 ENA

ENA Token Allocation:

  • Key Members: 30%

  • Investors: 25%

  • Foundation: 15%

  • Ecosystem Development: 30%

ENA Token Allocation

ENA Token Distribution Schedule:

ENA Token Allocation Schedule

Ethena (ENA) Development Team

The Ethena development team consists of talented and experienced members in the technology field, with outstanding contributions to the project.

Here are some detailed information about the key members:

Arthur Hayes:

  • Founding Advisor: Arthur Hayes is the founder and CEO of Haze, an investment company focused on cryptocurrency. He is also a co-founder of Crypto Capital Corp, a venture capital fund focused on blockchain. Hayes has extensive experience in finance and investment, and his expertise plays a crucial role in guiding Ethena's development.

Leptokurtic:

  • Founder and CEO: Leptokurtic is an experienced software developer and entrepreneur. He has deep knowledge of blockchain technology and DeFi, and has been involved in many successful projects in this field. Leptokurtic's leadership and vision are key factors driving Ethena's development.

Wintermute:

  • Technical Director: Wintermute is a leading quantitative trading company in the cryptocurrency field. Wintermute's technical team has high expertise in developing complex and efficient trading systems. Thanks to the collaboration with Wintermute, Ethena can leverage the most advanced technologies to ensure the performance and reliability of its protocol.

Why USDe is not a stablecoin

USDe is not considered a stablecoin for several main reasons:

1. Support Mechanism:

  • Unlike traditional stablecoins backed by fiat reserves (like USD, EUR) or collateral assets, USDe uses a complex algorithm combining market-oriented strategies to maintain its value.

  • This means that USDe is not fully backed by cash, leading to higher potential risks compared to conventional stablecoins.

2. Operational Objectives:

  • Instead of focusing on maintaining a fixed exchange rate with USD, USDe is designed to operate as a "synthetic dollar", meaning its value may fluctuate according to market factors.

  • This goal aims to create an asset with a risk profile uncorrelated with fiat currency and the traditional financial system.

3. Founder’s Perspective:

  • Guy Young, the founder of Ethena Labs, has clearly stated that they do not want to consider USDe as a stablecoin.

  • This statement reflects the team's clear intention to distinguish USDe from other stablecoins and highlights its unique nature.

Summary

Ethena (ENA) is a promising project with a new approach to issuing decentralized stablecoins. Instead of relying on traditional assets or vulnerable algorithms, Ethena employs modern hedging financial strategies to protect value. This makes USDe a potential candidate for expanding the DeFi ecosystem and becoming part of the new global financial infrastructure.