Token reserve of Ethena expands significantly through $890 million investment by StablecoinX for construction

In a significant move for the stablecoin sector, StablecoinX Inc. has secured a $530 million funding deal, marking the founding of the first public company dedicated to the Ethena ecosystem. The deal, which took place through a private investment in public equity (PIPE) transaction, saw institutional investors, including top investment firms, join the funding round.

The latest round of funding brings the total commitments to StablecoinX to $890 million. The shares were sold for $10 each in the PIPE transaction. Among the top firms that participated in the funding round are YZi Labs, Brevan Howard, Susquehanna Crypto, IMC Trading, Dragonfly, ParaFi Capital, Maven11, Kingsway, Mirana, and Haun Ventures.

The Ethena Foundation also contributed to the funding, adding a $310 million token buyback program, bringing total purchases to $570 million. This funding will enable StablecoinX to provide institutional and retail investors direct access to the growing stablecoin market through a regulated, transparent structure.

The unique design of Ethena's USDe stablecoin allows holders to earn yields while maintaining price stability, using a delta-neutral hedging strategy with staked Ethereum as collateral. This feature is expected to fuel growth for yield-bearing stablecoins like USDe, given the recent regulatory shift that imposes new yield restrictions on traditional stablecoin issuers.

Ethena's USDe stablecoin, which has partnered with Anchorage Digital, the only federally chartered crypto bank in the United States, has broken multiple records, becoming the fastest stablecoin ever to reach $10 billion in supply. It now ranks as the third-largest stablecoin globally, commanding over 4% of the entire stablecoin market.

With the successful funding round, StablecoinX will introduce iUSDe in February, built on their existing synthetic dollar technology. The combined company after the merger will be called StablecoinX Inc. and plans to list on the Nasdaq stock exchange under the ticker symbol "USDE."

The active USDe community grew to over 757,000 users across 24 different blockchain platforms by August 2025. Ethena Labs, the company behind USDe, has generated impressive revenue, crossing $500 million in total earnings. The company's 2025 roadmap includes a Telegram payments app, Apple Pay integration, and innovative stablecoin products.

Market analysts believe the stablecoin sector could expand dramatically as traditional stablecoin issuers face new yield restrictions under recent regulations. The deal creates a promising opportunity for StablecoinX to capitalise on this growth and shape the future of the stablecoin market.

Token reserve of Ethena expands significantly through $890 million investment by StablecoinX for construction