Ethena plans to expand arbitrage strategy to the equity perpetual contract market

Ethena plans to extend its cryptocurrency spot and perpetual contract arbitrage strategy to the equity perpetual contract market to capture capital rate premiums. Ethena's existing cryptocurrency arbitrage allocation peak exceeds US$8 billion, and the theoretical potential open interest of stock perpetual contracts can reach US$4 trillion. As of August 11, the open interest in perpetual contracts in stocks across the market reached US$6.2 billion. The annualized funding rates of Hyperliquid and Binance averaged 14% and 17.5% respectively, while the annualized funding rate of Bitcoin during the same period was 4.1%.