Ethena’s native token ENA surged 10.7% in 24 hours and 27% over the week after the Ethena Foundation proposed a fee-switch mechanism that would direct 95% of net revenue toward ENA buybacks once USDe reaches a $7.5 billion circulating supply milestone. The proposal, open for voting until September 2, has already seen unanimous support across 65 votes representing roughly 14.4 million ENA in voting power. In a parallel move, the foundation completed a buyout of locked tokens from select seed investors and secured agreement with lead investors to accelerate the remaining unvested allocations to an October 5 release date, replacing the prior monthly unlock schedule.
The buyback proposal and accelerated investor unlock restructuring are sending a clear signal of protocol-level commitment to token scarcity and value accrual. ENA is trading above $0.17, reflecting strong market enthusiasm, while USDe cements its position as the sixth-largest stablecoin at a $4 billion market cap. The earlier $20 million strategic investment from M2 Capital further bolsters institutional credibility. Market sentiment around ENA is decisively positive, with the revenue-backed buyback mechanism offering a tangible demand catalyst as the protocol scales its stablecoin footprint.