Arthur Hayes Makes Bold ENA Token Investment Ahead of Hyperliquid USDH Stablecoin Vote

Arthur Hayes, co-founder of BitMEX and head of the Maelstrom Digital Asset Investment Fund, has made headlines after purchasing approximately $1 million worth of Ethena (ENA) tokens in anticipation of the upcoming Hyperliquid USDH stablecoin vote. The vote, a critical decision for the future of decentralized finance, is set to take place this Sunday.

Hayes’ Accumulation of ENA Tokens

According to blockchain data monitored by Arkham and reported by Cryptopolitan on September 11th, Hayes has acquired ENA tokens through a series of transactions totaling nearly $2 million in less than 48 hours. On September 10th, Hayes purchased 672,800 ENA tokens for approximately $521,000. The following day saw him acquire an additional 578,956 tokens valued at $473,000, bringing his two-day total to 1,223,815 tokens worth nearly $995,000.

In the hours following these purchases, Hayes continued building his stake, acquiring another 1.34 million tokens valued at $1.02 million over an eight-hour span. Altogether, Hayes’ holdings of ENA tokens now stand at a significant 4.45 million.

Hyperliquid’s USDH Stablecoin Vote

At the center of the excitement is the USDH stablecoin vote, which will determine crucial features and partnerships for Hyperliquid’s next-generation stablecoin system. Ethena has presented a compelling proposal involving its USDtb stablecoin in collaboration with BlackRock (BUIDL) funds. The proposal includes allocating 95% of revenue generated to Hyperliquid's support fund and covering costs tied to transitioning USDC trading pairs.

David Lawant, head of research at FalconX, highlighted Ethena's strength in the stablecoin space, noting its $5.39 billion market capitalization and $11.73 billion fully diluted valuation (FDV). In comparison, Hyperliquid commands a market cap of $18.48 billion with an FDV of $55.34 billion.

Despite Hayes’ notable investment in ENA tokens, industry leaders advise caution regarding its influence on the vote’s outcome. Kirby Ong, founder of HyperCollective, remarked, “Hayes’ purchase reflects individual trading activity rather than an endorsement of the USDH proposal.” Ong emphasized that the final decision will hinge on factors such as the alignment of Ethena’s USDtb integration plan, broader staker support, and the ecosystem's capacity to provide sustainable value.

Intense Competition Among Stablecoin Developers

Ethena is not the only player vying for Hyperliquid’s stablecoin adoption. Other major players in the sector have intensified their efforts, presenting proposals designed to sway the vote. Paxos, backed by PayPal, has revised its plan with a promise to allocate a larger share of reserve revenue to Hyperliquid's support fund. Meanwhile, Kraken has put forth a proposal to list USDH and Hyperliquid's HYPE token, which is currently undergoing standard review processes.

This competition underscores the high stakes of this weekend’s vote, with each proposal offering distinct advantages aimed at capturing market share in the rapidly growing decentralized finance (DeFi) industry.

Ethena’s DeFi Momentum

Ethena continues to make significant strides in the DeFi space, with its total value locked (TVL) surpassing $13 billion—a dramatic increase from its launch phase, when TVL stood below $2 billion. The platform’s ENA token boasts a market cap of $5.39 billion alongside a daily trading volume of $708 million. While daily volume has dropped by 46% in recent days, the token's price has surged 11% over the past week.

Hayes’ involvement in Ethena is not new. In July, he purchased over 2.16 million ENA tokens, which led to a 16% bump in the token's price. StablecoinX, another major player in the stablecoin market, is also acquiring ENA tokens aggressively, having raised $890 million to purchase $5 million worth of ENA daily for six weeks. This strategy has enabled StablecoinX to acquire 8% of ENA’s circulating supply.

The Importance of the USDH Stablecoin Vote

This weekend’s USDH vote is poised to be a pivotal moment for defining the future structure of Hyperliquid's stablecoin system, stirring significant interest across the DeFi sector. The outcome will not only impact the trajectory of USDH adoption but also shape the ecosystem’s ability to attract both institutional and retail players in a competitive market.

The convergence of major players like Ethena, Paxos, Kraken, and others underscores the growing importance of stablecoin innovation in decentralized finance. As Hayes’ substantial ENA token purchases signal belief in Ethena’s ongoing potential, all eyes turn to the USDH vote to see which proposal will emerge victorious and set the stage for the next phase of stablecoin evolution.