M2's wager on Ethena drives the growth of digital assets in the Middle East

M2 Capital, the investment division of UAE-headquartered M2 Holdings, has pledged $20 million to the governance token of Ethena,

, as part of its strategy to strengthen digital asset infrastructure across the Middle East. Announced in September 2025, this move supports the region’s ongoing initiatives to enhance its status in international finance. , recognized for its crypto-based synthetic dollar (USDe) and its yield-generating version (sUSDe), has seen deposits exceed $14 billion since its debut in 2024, highlighting robust interest in yield-bearing stablecoin alternatives M2 Capital Invests $20M in Ethena to Expand Digital Assets [ 1 ].

Ethena’s platform utilizes crypto collateral and delta-neutral hedging to stabilize prices while delivering returns. The sUSDe product has achieved yields as high as 14% during favorable 2025 market conditions M2 announces $20 Million investment in Ethena ($ENA) as part of ... [ 2 ]. M2 Global Wealth, a branch of M2 Holdings, plans to incorporate Ethena into its wealth management services, giving clients regulated access to innovative digital assets. Kim Wong, head of treasury at M2, stated that this collaboration establishes a “new benchmark for reliability and safety” in the region’s digital asset sector M2 Capital Invests $20M in Ethena to Expand Digital Assets [ 1 ].

This funding follows M2’s earlier involvement in

blockchain ecosystem investments, reinforcing its goal to make the UAE a center for crypto development. Regulatory progress in the UAE, such as clear guidelines from the Abu Dhabi Global Market (ADGM) and the Securities Commission of The Bahamas (SCB), has drawn companies like Ethena. M2 intends to provide custody, yield, and liquidity solutions via Ethena’s platform, furthering the adoption of digital financial products in the Middle East M2 Capital Invests $20M in Ethena to Expand Digital Assets [ 1 ].

Ethena’s

and sUSDe are engineered to counter the volatility seen in traditional stablecoins by combining crypto-native collateral with risk management strategies. As of September 2025, the protocols’ total value locked (TVL) neared $6 billion, representing 10% of the stablecoin DeFi sector, according to DeFiLlama M2 announces $20 Million investment in Ethena ($ENA) as part of ... [ 2 ]. M2’s stake in the ENA governance token increases Ethena’s influence over protocol decisions and enables M2 to deliver institutional-level services to its clientele.

This alliance underscores the UAE’s expanding presence in the cryptocurrency industry. M2 Holdings, which operates under licenses from ADGM and SCB, works within a multi-jurisdictional regulatory framework that blends institutional standards with operational flexibility. By connecting Middle Eastern investors to Ethena’s offerings, M2 seeks to broaden access to high-yield digital assets while maintaining adherence to international compliance requirements. Ethena’s founder, Guy Young, remarked that M2’s involvement enhances USDe’s global reach, with notable institutional interest from the region M2 announces $20 Million investment in Ethena ($ENA) as part of ... [ 2 ].

Industry experts believe this investment could drive ENA’s price higher in the near term, though its long-term prospects depend on Ethena’s ability to grow its TVL and stay aligned with regulatory standards. As of September 2025, ENA’s market cap was $1.3 billion, with trading volume rising by 15% month-over-month M2 announces $20 Million investment in Ethena ($ENA) as part of ... [ 2 ]. Ethena’s future plans include launching an institutional-grade version (iUSDe) and the Shard Campaign, which aims to boost USDe’s supply to $1 billion, further cementing its role in the stablecoin ecosystem M2 announces $20 Million investment in Ethena ($ENA) as part of ... [ 2 ].