Ethena Labs increases rewards
USDe from Ethena Labs is increasing rewards for users by 50%.
Ethena Labs will increase rewards by 50% for users who lock ENA tokens for at least seven days, increasing the value of ENA by 14%.
The platform is introducing a #bitcoin annualized return strategy similar to Ethereum's existing strategy.
Frax Finance is placing $250 million in a new liquidity pool and aims to create one of the deepest pools in the #BTC space.
Ethena Labs recently announced a significant increase in user rewards. As part of its Season 2 initiative, the platform will increase rewards for certain users by 50%.
As a result, the value of ENA, Ethena's own token, has jumped by 14%. The token is currently trading at $1,306, up significantly from its debut price last week of $BTC The reward increase will benefit users who choose to block ENA for a minimum of seven days; those who block more than 50% of ENA against their balance of USDe, Ethena's stable coin, will see their reward increase by 50%.
This initiative aims to encourage user participation and strengthen the platform's ecosystem.
Ethena also introduced a strategy of buying bitcoin (BTC) and simultaneously shorting it to generate annual profits through cash-and-carry trading. This strategy has also been introduced for #BTC (ETH) since January.
Since its introduction, following the unprecedented growth of USDe, Ethena hedging accounts for ~20% of #BTC open interest today; with $25 billion of #BTC open interest now readily available for Ethena delta hedging, the scalability of USDe has increased by more than 2.5x," stated developer Ethena Labs," stated the developer.
The initial limit for the ENA blockchain is set at USDe 200 million and may be adjusted over time.
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