On February 6, 2026, the MegaETH Foundation announced it will use revenue from its native USDM stablecoin to fund routine MEGA token buybacks, The Block. USDM, developed with Ethena, earns yield on reserves of USDtb, an Ethena-issued stablecoin backed by BlackRock’s BUIDL fund. This mechanism links USDM circulation directly to MEGA demand, as growing app adoption on MegaETH boosts USDM usage and subsequent buybacks. The foundation stated, “As these applications grow, USDm grows, further increasing buybacks of MEGA.”
MegaETH decoupled its mainnet launch (February 10, 2026) from the MEGA token generation event (TGE), tying over 50% of supply to three measurable KPIs. These include $500M in 30-day time-weighted USDM supply, 10 MegaETH-based apps launching, or three apps earning $50,000 in fees for 30 days. TGE occurs 7 days after any KPI is met, with public dashboards live on February 9, 2026. This performance-based release contrasts with typical crypto launches, aiming to align token supply with ecosystem growth.
MegaETH’s beta proximity markets post-mainnet allow heavy users like market makers and high-frequency traders to bid for sequencer-adjacent positions using MEGA, reducing latency and fees while creating token demand. Backed by BlackRock’s BUIDL and Ethena, USDM appeals to institutions seeking yield without liquidation. MegaETH’s EVM-compatible design and real-time execution target DeFi scalability, positioning it against Solana and Ethereum L2s. However, stablecoin regulatory risks under the GENIUS Act sit.
MegaETH’s model could drive MEGA to $10–$20 by 2026 if USDM reaches $1B circulation, an analyst estimates. Investors should track USDM adoption on DefiLlama and MEGA listings via CoinGecko. Dollar-cost average into MEGA post-TGE, with stop-losses below key supports, or hold USDC for stability, TradingView. Follow @MegaETH on X for KPI updates. While innovative, MegaETH’s success hinges on app growth and stablecoin yield sustainability amid Fed rate uncertainty.
