A Major Exchange Announced It Has Increased Its Investment in a Surprise Altcoin

MEXC Ventures, the cryptocurrency investment arm of MEXC, has increased its investment in the Ethena (ENA) ecosystem, bringing the total to $66 million.

According to the shared press release, the company made an additional investment of $30 million in ENA, the governance token of the Ethena protocol.

MEXC Ventures’ latest move follows its $16 million acquisition of ENA and $20 million of USDe earlier in the year, bringing the company’s total investment in the Ethena ecosystem to $66 million.

USDe is a synthetic stablecoin that aims to track the value of the dollar without relying on traditional reserves. Instead, it uses a combination of collateralized stablecoins and futures contracts. USDe’s market capitalization has nearly tripled since the beginning of July, from $5.3 billion to $14.65 billion. However, traditional stablecoins, backed by assets like cash and US Treasury bonds, still dominate the market. The leading stablecoin, Tether (USDT), has a market capitalization of $174.7 billion.

However, there are those who keep their distance from USDe because it could cause a crisis similar to the LUNA crisis.

“We see ourselves as ecosystem builders, not passive investors,” said Leo Zhao, Investment Director at MEXC Ventures.

*This is not investment advice.

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Source: https://en.bitcoinsistemi.com/a-major-exchange-announced-it-has-increased-its-investment-in-a-surprise-altcoin/