Ethena's on-chain activity is booming. Its token is stuck near record lows.

@ethena is showing a stark disconnect between surging network usage and a token that refuses to respond. According to @SantimentData, on June 19, Santiment reported 5,057 daily active ENA addresses, the highest in seven months, and 2,968 new wallets, marking the strongest network growth in over two years. Usage, by any on-chain measure, is climbing.

The token is not. $ENA remains pinned near record lows, down roughly 94% from its all-time high, with the on-chain boom barely registering on the price chart.

What is driving the network activity

Two catalysts appear to be pulling users in. The first is a proposed buyback-and-burn mechanism that would funnel protocol revenue directly into $ENA. This mechanism would redirect a portion of the protocol's revenue, generated from USDe's delta-neutral strategy, to open-market ENA buybacks and distributions to sENA stakers. A governance vote to enable revenue sharing and buybacks for ENA stakers is pencilled in for Q3 2026. The Ethena Risk Committee confirmed that preset parameters have been met, including USDe supply targets, cumulative protocol revenue above $250 million, and sufficient exchange integrations.

The second driver is steady growth in USDe itself. USDe's market cap is now $4.51 billion, up 3.09% in the past 30 days, and it remains pegged at $1.00 for 49,874 holders. Ethena's governance discussions around buyback-and-burn mechanisms, expanding utility for staked ENA, and the continued expansion of USDe across centralised and decentralised venues appear to be providing the product catalyst behind the simultaneous acceleration in active addresses and new wallets.

The price gap that still needs closing

Despite the network momentum, sceptics point to structural headwinds. The revenue generated by USDe belongs to sUSDe holders, and any protocol capture would mechanically reduce yield and therefore the stablecoin's competitiveness. This requirement makes buybacks unpredictable: when protocol revenues decline, buybacks can stop abruptly, and an intermittent buyback may be more harmful to ENA than no buyback at all.

ENA also still faces several years of significant upcoming token emissions, estimated at over $300 million in 2026 at current prices. Traders are watching the $0.10 resistance level, because Ethena's stronger TVL, users, and USDe activity must translate into lasting ENA demand beyond short covering while risk remains elevated after the collapse. For now, the network is busy. The token is waiting.

Sources
BanklessTimes: Ethena ENA Nears Record Low as On-Chain Growth Surges
OAK Research: Ethena Fee Switch Analysis
Crypto Economy: ENA Rebounds From Record Lows