The announcement of “season 2,” which includes a 50% increase in prizes for some users, caused ENA, the native token of Ethena Labs, to soar by 15% on Monday.According to CoinMarketCap, the cryptocurrency launched last week at $0.64 and is presently trading at $1.26.The decentralized finance (DeFi) network Ethena Labs is the source of the yield-producing USDe stablecoin.Users may lock in ENA as of April 8 for a minimum of seven days.A 50% incentive increase will be given to users that lock 50% or more of their ENA in relation to their USDe balance.
According to blockchain analytics company Lookonchain, three wallets took out 11.9 million ENA ($15.23 million) from Binance to stake.The $ENA lock will not apply to “team and investor allocations, which are locked on vesting schedules,” according to a blog post by Ethena Labs.The $200 million cap on the ENA lock was initially imposed, and it will gradually rise.
In a cash and carry trade, Ethena unveiled a method last week that entails buying bitcoin (BTC) and shorting the asset at the same time to provide an annual dividend.Since January, the platform has used ether (ETH) and a similar tactic.