by Enoch Mwathwa
The new financing provided by ArkStream Capital has given Ethena Labs renewed confidence in its growth and development, and pushed the price of ENA even higher. The shift follows a period where the DeFi company has solidified its presence in capital markets and is increasing the usage of its synthetic dollar, USDe.
ArkStream Capital Doubles Down on Ethena
ArkStream Capital announced an additional $10 million investment in Ethena Labs. This follows a $5 million round at the end of 2024. The company said it had continued to support Ethena because of its quick development of capital market connections and implementation of new products.
We are pleased to announce that ArkStream Capital has made an additional investment of USD 10 million in @ethena_labs in August 2025, building on our initial USD 5 million investment in December 2024 as part of our long-term strategy. This increased commitment reflects our strong… pic.twitter.com/571g5BtxC1
— ArkStream Capital (@ark_stream) September 5, 2025
The investment underscores the belief that ArkStream has in the dual track strategy employed by Ethena. Ethena combines equity-based financial vehicles with a crypto-native decentralized protocol. This approach has tied the adoption of the USDe stablecoin with ENA token governance. The result is a strong “flywheel effect” that boosts both assets.
Ethena’s USDe has already seen major adoption. By the end of August, it had a supply exceeding 12.5 billion and was the third-largest stablecoin. The delta-neutral yield model delivers annualized returns between 9% and 11%. Many in DeFi now see USDe as a “quasi-risk-free” benchmark rate. Its use on lending platforms such as Aave has surged, with $4.7 billion in assets connected to Ethena-related products.
ENA Price Gains Momentum on Funding and Buybacks
Following the announcement of the investments, the price of ENA increased by over 12 percent in just one day, surpassing the overall cryptocurrency market price, according to CoinMarketCap data. Another driver behind the rally was a $260 million buyback program by Ethena Foundation. The foundation has been spending $ 5 million every day, increasing the quantity of tokens, and reinforcing investor trust. This reflects the mechanism of buyback that is common to traditional finance.
The bullish trend is backed by investor activity. The number of wallets with 100,000 to 1 million ENA tokens increased by 12 percent in August. Although there has been a flow of some tokens into exchanges, implying profit-taking in the short term, data reflect high levels of long-term commitment by large holders.
Ethena also goes further than stablecoins. The company stated that it collaborated with Anchorage Digital to introduce USDtb, a GENIUS-compatible stablecoin in the U.S. market. On the infrastructure front, Ethena has created Converge Chain with USDe and USDtb as settlement assets, a modular blockchain co-developed with USDe. The network will be secured with ENA staking, which will also keep token value tied to financial activity on the chain.
#blockchain #crypto, #decentralized, #distributed, #ledger
