Standard Chartered has released a research report predicting significant growth for Ethena's USDe stablecoin and ENA token. The bank anticipates that by the end of 2028, USDe's supply will expand eightfold to $40 billion, while ENA could see its price increase to $2, roughly seven times its current value of $0.28.
The report highlights that this growth is expected as Ethena diversifies its yield sources beyond traditional crypto markets. Standard Chartered notes that the protocol is venturing into DeFi, institutional lending, and real-world assets, which could enhance USDe's yield potential.
In addition to the stablecoin's growth, Standard Chartered emphasizes the importance of ENA buybacks, which are tied to USDe's supply milestones. As USDe grows, a fee switch directs 95% of net revenue towards ENA buybacks, potentially generating substantial annual buybacks that could influence ENA's market value.
With projections indicating that the broader market for tokenized assets could increase from $350 billion to $4 trillion by 2028, Ethena is well-positioned to capitalize on this trend. The bank's analysis suggests that ENA's price will likely rise in tandem with USDe's growth, ensuring a sustainable buyback rate.
As of the report's release, ENA was trading around $0.27, reflecting a 28% increase over the past week and a 77% rise over the last month, indicating strong market interest in the token.