#ENA Price Prediction

Introducing the Protagonist of Binance’s new coin mining—Ethena (ENA)

Mastering Crypto

Mar 30

・

1.7k views

#ENA This is the governance token of the DeFi stablecoin protocol ethena_labs (a bit like the relationship between LUNA and USTC)

And Ethena is a synthetic dollar protocol built on Ethereum.

Stablecoins backed by fiat currencies (USDT, USDC) or RWA as they are commonly known, rely heavily on traditional banking infrastructure and regulatory environment to enable "minting" and "redemption" requests to ensure the peg.

The USDe launched by Ethena is a synthetic U.S. dollar, a decentralized stablecoin, which is collateralized by crypto assets and corresponding short futures positions.

Although decentralized stablecoins have experienced many difficult problems in history. But Ethena Labs believes that delta-neutral synthetic dollars, which hold collateral outside the banking system and have access to centralized liquidity, can solve existing stablecoin design challenges.

The advantages of USEe compared to other decentralized stablecoins:

USDe is enabled by Ethena Labs by hedging the delta of spot assets backing the token during minting. Therefore, USDe has the following advantages:

1️⃣Scalability is achieved by utilizing derivatives, which allows USDe to scale through capital efficiency. Since the pledged ETH collateral is perfectly hedged by an equivalent notional short position, synthetic USD only requires a 1:1 “collateralization”.

2️⃣ Provides stability by performing hedging on transferred assets immediately upon issuance, ensuring USDe supports the synthetic USD value under all market conditions.

3️⃣ Resist censorship by decoupling backing from the banking system and storing trustless backing assets outside of a centralized liquidity venue in an on-chain, transparent, 24/7 auditable, programmatic custody account solution.

Token data:

Maximum supply: 15 billion tokens

Initial circulation: 9.5%=1.425 billion tokens

Mining pool tokens: 300 million (2%)

Project launch time:

March 30, 2024 08:00 - Star