StablecoinX and TLGY Acquisition have secured an additional $530 million in financing to buy digital assets, bringing total commitments to $890 million ahead of a planned merger and Nasdaq listing.
The combined company, to be renamed StablecoinX Inc., is set to hold more than 3 billion ENA, the native token of the Ethena protocol. According to the company, it will be the first dedicated treasury business for the Ethena ecosystem, which issues the USDe and USDtb stablecoins.
The capital was raised through a private investment in public equity (PIPE) transaction, which allows public companies to raise capital by selling discounted shares to institutional investors.
New investors in the company include YZi Labs, Brevan Howard, Susquehanna crypto, and IMC Trading, as well as returning backers Dragonfly, ParaFi Capital, Maven11, Kingsway, Mirana and Haun Ventures.
The PIPE deal was priced at $10 per share, with part of the proceeds allocated to discounted locked ENA purchased from a foundation subsidiary.
“The additional funding strengthens ecosystem resilience, deepens ENA liquidity, and supports the sustainable growth of USDe, USDtb, and future Ethena products,” Marc Piano, director at the Ethena Foundation, said in a statement.
The announcement follows a July 21 disclosure that outlined TLGY and StablecoinX’s proposed merger, an initial $360 million PIPE financing, and a $260 million ENA buyback program.
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Ethena stablecoin is setting records
Launched in early 2024 by Ethena Labs, the Ethena protocol issues synthetic dollar stablecoins such as USDe and USDtb, which are backed by a delta-neutral hedging model rather than traditional reserves.
The project is overseen by the Switzerland-based Ethena Foundation, which is responsible for governance and ecosystem development.
According to Binance Research’s September report, USDe became the fastest stablecoin to surpass $10 billion in supply, reaching $12.6 billion as of September. The report noted that the milestone came in under ten months, compared with about 88 months for Tether’s USDT and 38 months for Circle’s USDC.
Token Terminal data shows USDe supply has grown 31% in the past month, making Ethena the third-largest stablecoin issuer behind Tether and Circle.
Ethena has also generated over $500 million in cumulative revenue as of August, recently exceeding $13 million in weekly protocol earnings.
Binance Research attributed the increase to higher demand for USDe and returns from the project’s hedging model, which captures yield from crypto markets to maintain the stablecoin’s peg.
It also noted that Ethena’s fiat-backed stablecoin, USDtb, is being developed with a pathway to compliance under the recently enacted US GENIUS Act, which US President Donald Trump signed into law on July 18.
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