Mega Matrix Inc. Announces the Stablecoin Governance Tokens Treasury Reserve ("DAT") Strategy with ENA tokens as Primary Target
Rhea-AI Summary
Mega Matrix Inc. (NYSE American: MPU) has announced its strategic focus on stablecoin governance token treasury reserve, primarily targeting Ethena's governance token (ENA) under its digital asset treasury (DAT) strategy. The company aims to participate in the governance of leading stablecoin ecosystems through strategic token holdings.
Ethena's stablecoin USDe is currently the third-largest stablecoin by circulating supply, following Tether and Circle. The stablecoin has achieved remarkable growth, surpassing $10 billion market supply in 500 days. According to a 2025 Standard Chartered report, the stablecoin market could expand to $2 trillion by 2028.
Positive
- Strategic positioning in the rapidly growing stablecoin market
- Focus on ENA tokens of USDe, the third-largest stablecoin by circulating supply
- Entry into a market projected to reach $2T by 2028
- Potential governance influence in a leading stablecoin ecosystem
Negative
- High regulatory uncertainty surrounding stablecoins and governance tokens
- Investment subject to significant crypto market volatility
- Success dependent on market conditions for ENA token purchases
- Multiple operational risks in implementing new DAT strategy
News Market Reaction
On the day this news was published, MPU declined 5.88%, reflecting a notable negative market reaction. Argus tracked a peak move of +12.8% during that session. Argus tracked a trough of -2.5% from its starting point during tracking. Our momentum scanner triggered 14 alerts that day, indicating notable trading interest and price volatility. This price movement removed approximately $7M from the company's valuation, bringing the market cap to $120M at that time.
Data tracked by StockTitan Argus on the day of publication.
Ethena is a digital dollar protocol built on Ethereum and Ethena Foundation is the issuer of USDe, which, as of the date hereof, is the third largest stablecoin asset by circulating supply, following only Tether and Circle. ENA token is the governance token of Ethena, used for decentralized protocol governance and incentives. USDe is Ethena's synthetic dollar. It has been widely reported that USDe has distinguished itself as a fast-growing stablecoin, surpassing a
According to a 2025 Standard Charted report, Stablecoin Market could grow to
About Mega Matrix Inc.: Mega Matrix Inc. (NYSE American: MPU), a holding company headquartered in
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. All statements in this press release other than statements that are purely historical are forward looking statements. When used in this press release, the words "estimates," "projected," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "should," "future," "propose," and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements are not guarantees for future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the Company's control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others, are the: ability to manage growth; ability to identify and integrate future acquisitions; ability to grow and expand our FlexTV business; ability to purchase stablecoin governance tokens, Bitcoin or Ethereum at the price that we want; ability to reinitiate the ETH staking business, ability to implement the strategic expansion into the stablecoin sector, ability to implement the new business strategy with a focus on stablecoin governance token and ability to create value; the regulatory volatility on stablecoins and governance tokens; ability to obtain additional financing in the future to fund capital expenditures and our digital asset treasury ("DAT") reserve strategy and ability to create value; fluctuations in general economic and business conditions; costs or other factors adversely affecting the Company's profitability; litigation involving patents, intellectual property, and other matters; potential changes in the legislative and regulatory environment; a pandemic or epidemic; the possibility that the Company may not succeed in developing its new lines of businesses due to, among other things, changes in the business environment, competition, changes in regulation, or other economic and policy factors; and the possibility that the Company's new lines of business may be adversely affected by other economic, business, and/or competitive factors. The forward-looking statements in this press release and the Company's future results of operations are subject to additional risks and uncertainties set forth under the heading "Risk Factors" in documents filed by the Company with the Securities and Exchange Commission ("SEC"), including the Company's latest annual report on Form 20-F, filed with the SEC on March 28, 2025, and are based on information available to the Company on the date hereof. In addition, such risks and uncertainties include the inherent risks with investing in ENA token, Bitcoin and/or Ethereum, including ENA token's, Bitcoin's and Ethereum's volatility; and risk of implementing a new DAT strategy focusing on ENA token. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this press release.
Disclosure Channels
We announce material information about the Company and its services and for complying with our disclosure obligation under Regulation FD via the following social media channels:
X (f/k/a Twitter): | twitter.com/MegaMatrixMPU |
Facebook: | facebook.com/megamatrixmpu |
LinkedIn: | linkedin.com/company/megamatrixmpu |
The Company will also use its landing page on its corporate website (www.megamatrix.io) to host social media disclosures and/or links to/from such disclosures. The information we post through these social media channels may be deemed material. Accordingly, investors should monitor these social media channels in addition to following our website, press releases, SEC filings and public conference calls and webcasts. The social media channels that we intend to use as a means of disclosing the information described above may be updated from time to time as listed on our website.
For inquiries, please contact: Info@megamatrix.io
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SOURCE Mega Matrix Inc.
FAQ
What is Mega Matrix's (MPU) new stablecoin governance token strategy?
Why did MPU choose ENA tokens for its treasury reserve?
What is the market potential for MPU's stablecoin strategy?
What are the main risks of MPU's new treasury reserve strategy?
How will MPU implement its ENA token acquisition strategy?
