According to @adriannewman21, owning ENA can be a straightforward way to express an Ethereum-bullish view, source: Adrian on X (Aug 9, 2025). Ethena’s USDe is primarily collateralized by ETH staking assets and hedged with short perpetuals to stay delta-neutral, so protocol returns are driven by staking rewards and perpetual funding rates tied to ETH market conditions, source: Ethena Labs Documentation. For trading, monitor three ETH-linked signals: ETH perpetual funding rates, ETH staking yields, and USDe circulating supply reported on the project’s transparency dashboard, sources: Ethena Labs Documentation; Ethena Transparency. Key risks include negative funding compressing sUSDe yield, basis dislocations increasing hedge costs, and centralized exchange counterparty risk on hedges, source: Ethena Labs Documentation.

According to @akshat_hk, interest rate cuts directly compress profit margins for NIM-based stablecoin issuers such as USDC and USDT, making their business models less profitable. Conversely, rate cuts can trigger market dynamics that are bullish for ENA’s USDE yield, potentially increasing its attractiveness for yield-seeking traders. Crypto traders should monitor central bank rate policies closely, as these changes can alter stablecoin profitability and shift yield opportunities within the DeFi sector (source: @akshat_hk).