May 23, 2024

The Ethena network is a decentralized finance (DeFi) protocol that operates on the Ethereum blockchain, providing innovative solutions for financial activities without relying on traditional banking systems. It introduces a synthetic dollar protocol, USDe, which provides a crypto-native approach to money management and savings and aims to create a censorship-resistant, scalable, and stable financial ecosystem within the decentralized finance space. 

Ethena's focus on creating a globally accessible dollar-denominated savings instrument, known as the "Internet Bond," demonstrates its commitment to providing inclusive financial services that are not bound by geographical limitations or traditional financial infrastructures.

Through the use of smart contracts and decentralized applications (dApps), Ethena ensures that transactions are executed autonomously and securely, without the need for intermediaries. This approach not only increases the efficiency of financial operations but also fosters trust among users by providing a transparent and auditable financial environment.

What is the ENA token?

The ENA token is the governance token for Ethena. As a governance token, ENA grants holders the ability to participate in decision-making processes regarding the Ethena protocol, including key policies such as overall risk management framework, USDe backing composition, exchange exposure, custodian exposure, DEX integrations, cross-chain integrations, new product prioritization, and more. 

The utility of ENA extends beyond governance, as it also serves as a reward mechanism for participants in the Ethena ecosystem. The token was distributed through airdrops, with the first phase allocating 750 million ENA tokens, or 5% of the total supply, to users who participated in the shard-farming campaign. This strategic airdrop is intended to incentivize long-term participation in the Ethena ecosystem, with smaller holders receiving their share of the airdrop immediately, and larger holders subject to a vesting period based on their continued participation in the protocol. 

Here are some other things you need to know about the token:

  • Trading Volume (24h): The trading volume of ENA in the past 24 hours is $287,586,769.
  • Circulating Supply: The circulating supply of ENA is 1,520,312,500 tokens.
  • Total Supply: The total supply of ENA is 15,000,000,000 tokens.

Trade ENA

If you are interested in exploring DeFi deeper, the ENA token might be a good token to explore. To start participating in Ethena’s exciting ecosystem, all you need to do is get your first ENA token. Head over to our trading page to begin your Ethena journey.

! Disclaimer

The information provided in this article is for educational and informational purposes only and should not be construed as financial, tax, or legal advice or recommendation. Dealing with virtual currencies involves significant risks, including the potential loss of your investment. We strongly recommend you obtain independent professional advice before making any financial decisions. The products and services offered by Cryptology may not be suitable for all users and may not be available in certain countries or jurisdictions. The promotional materials do not guarantee any specific outcomes or profits from virtual trading. Past performance is not indicative of future results. It is important to read and understand the risks, which are explained in our Risk Disclosure Statement

Tom F.

Tom is one of the content managers here at Cryptology. While still fresh in his career he has been able to firmly place himself within the world of crypto and content creation, producing work for a number of publications including and The Times of Malta newspaper.