The ENA token of Ethena has reached $0.87, its highest level since January, driven by the listing of the USDe stablecoin on Binance, now valued at nearly $13 billion.
Unlocking the potential for Ethena’s ‘fee switch’
This listing is significant: it paves the way for the activation of the ‘fee switch,’ a mechanism that would distribute protocol revenues to ENA holders. Arthur Hayes, co-founder of BitMEX and a major investor in the project, expresses his excitement as he states, ‘With the USDe listing on Binance, the fee switch will be triggered. This unlocks $500 million in buybacks.’
The figures are staggering. In August alone, Ethena generated $54 million in revenues. Since its launch in late 2023, the protocol has accumulated over $480 million in revenue, according to Token Terminal.
Investors’ appetite for yield
Behind this growth lies a simple yet formidable mechanism. The USDe is backed by BTC, ETH, and SOL, hedged with perpetual short positions. As a result, when funding rates remain positive, Ethena earns revenue, which it partially redistributes to holders.
Currently, staking USDe yields 6.5% annually, well above traditional money market funds or USDC/USDT yields on Aave. In a yield-hungry market, this equation is appealing.
Corporate treasuries and stablecoins in a frenzy
Ethena also rides a broader trend: the rise of ‘digital asset treasuries.’ Some companies, like StablecoinX and TLGY, have raised over $530 million to purchase ENA and expose their balance sheets to the protocol’s growth, ahead of a planned listing on Nasdaq.
Simultaneously, Ethena is making moves in the fiercely competitive stablecoin arena. After the USDe explosion, the protocol is already developing a native stablecoin for MegaETH (an Ethereum layer 2) and eyeing the Hyperliquid ecosystem, which is preparing its own asset.
For Ethena, the recipe seems to be working: attractive yield, rapid adoption, and recognition by major platforms. If the ‘fee switch’ does indeed activate, ENA could quickly establish itself as one of the most closely watched tokens of autumn 2025.
