Summary
TLDR: Ethena Labs increases rewards for users by 50%, leading to a 14% surge in the value of their native token ENA. Users can lock in their ENA for a minimum of seven days to be eligible for the reward boost. Ethena also introduces a strategy involving Bitcoin and short selling. Frax Finance allocates $250 million of USDe to a new liquidity pool.
Key Points
1. Ethena Labs has increased rewards for users by 50% as part of its “season 2” initiative, leading to a significant surge of 14% in the value of ENA, the platform’s native token.
2. Users who lock in their ENA for a minimum of seven days and hold 50% or more of their ENA relative to their balance of USDe, Ethena’s yield-earning stablecoin, will be eligible for the 50% reward boost. This initiative aims to incentivize user participation and strengthen the platform’s ecosystem.
3. Frax Finance, another DeFi lending protocol, has passed a community governance proposal to allocate $250 million of Ethena Labs’ USDe to a new liquidity pool, creating one of the deepest liquidity pools in the DeFi space and diversifying Frax’s backing yield.