Etena Foundation plans to establish ENA financial strategy company 'StablecoinX' to purchase approximately 53 billion yen worth of ENA.

## Establishing a new company with ENA Treasury

The Ethena Foundation, which provides the stablecoin USDe, announced on the 21st the establishment of a treasury company "StablecoinX" for the cryptocurrency ENA, planning to invest the equivalent of $360 million (approximately 53 billion yen) in ENA tokens.

TLGY Acquisition Corp (hereinafter referred to as TLGY), a special purpose acquisition company (SPAC), has entered into a merger agreement with the newly established validator and infrastructure business StablecoinX Assets, which supports the Eterna ecosystem.

What is SPAC

An abbreviation for "Special Purpose Acquisition Company". The company itself does not have a business and aims to merge with or acquire a private company.

The merged company will be named "StablecoinX" and aims to be listed on Nasdaq with the ticker symbol "USDE".

To support this merger transaction, TLGY and StablecoinX Assets have entered into an agreement to raise approximately $360 million (about 53 billion yen) through a private investment in public equity (PIPE).

Funding raised from investors including Dragonfly, Ribbit Capital, Blockchain.com, Pantera Capital, Polychain Capital, and Galaxy Digital. The Eterna Foundation will also invest $60 million (approximately 8.9 billion yen).

This fund is intended to be used for accumulating reserves through the purchase of the native token "ENA" of Eterna, preparations for the NASDAQ listing, and strengthening the Eterna ecosystem.

Young Cho, the CEO of TLGY and StablecoinX Assets, explains the significance as follows.

Alongside Tether and Circle, the major issuer of digital dollars, ENA, is directly benefiting from the expansion of stablecoin adoption.

However, the native token "ENA" is difficult to access in traditional capital markets, making it challenging for investors to hold a strong position in Etana. This transaction will allow public market investors to access a highly transparent and properly managed Etana ecosystem.

It indicates that shareholders will gain indirect access to ENA in the form of shares in the new company.

By accumulating ENA tokens on a large scale over several years, the new company "StablecoinX" also continued to enable the increase of the actual value per share.

The USD-pegged stablecoin USDe issued by Etna currently ranks third in the stablecoin market capitalization rankings, following USDT and USDC. The market capitalization of USDT is approximately $160 billion, USDC is around $64.7 billion, and USDe is about $6.2 billion.

USDe is also referred to as "synthetic dollar" and uses Ethereum (ETH) liquidity staking tokens (LST) such as Lido's stETH as backed assets, providing investors with yields.

The new company "StablecoinX" is expected to operate the ENA infrastructure and provide staking services. It plans to focus on maximizing ENA per share and redirect profits toward strategic accumulation of ENA.