Ethena's total value locked (TVL) has dropped over 50%, leading to accelerated withdrawals and unwinding of leveraged positions due to falling yields. This situation highlights risks in high-yield crypto offerings within the crowded DeFi ecosystem, necessitating careful management to maintain trust.

Ethena’s TVL dropped over 50% amid heavy USDe redemptions. Yield compression accelerated withdrawals and forced leveraged positions to unwind. Ethereum is facing severe pressure after the total value locked (TVL) on its platform plummeted by more than 50%. From roughly $14 billion, Ethena’s

Ethena’s TVL dropped over 50% amid heavy USDe redemptions. Yield compression accelerated withdrawals and forced leveraged positions to unwind. Ethereum is facing severe pressure after the total value locked (TVL) on its platform plummeted by more than 50%. From roughly $14 billion, Ethena’s

The stablecoin sector continues to display notable traction across the globe. Particularly, $USDT, $USDC, and $USDe are leading the list of top stablecoins in terms of market capitalization. As per the data from Phoenix Group, the rising growth of the stablecoin world has pushed its total market cap

_Ethena’s USDe loses $8.3B in market cap since the October crash, as investors pull back from synthetic and leveraged assets._ Ethena’s synthetic stablecoin, USDe, has experienced a major loss of confidence following the crypto market crash on October 10. Since the event, USDe has seen an $8.3

At 9 p.m. Beijing time on December 9, HyENA, a new Perp DEX developed by the Based team, officially landed on Hyperliquid and supports the use of USDe as margin. HyENA is supported by the Ethena Foundation and brings a new trading model to the on-chain perpetual market by improving the efficiency of capital utilization, allowing previously idle margin assets to continue to earn income during trading. The launch of HyENA further expands USDe's ecological landscape and introduces institutional-grade margin efficiency to the on-chain perpetual market. More efficient perpetual trading with USDe HyENA allows users to open perpetual contract positions with USDe as margin/collateral assets, and can obtain the most eligible USDe margin in the first month of listing

Key Notes Anchorage Digital and Ethena Labs partner to bring in-platform rewards for USDtb and USDe users. USDtb’s market cap has dropped 22% despite the announcement. ENA token surges 6%, trading around $0.289. Ethena Labs has expanded its partnership with Anchorage, the only federally

Ethena’s synthetic-dollar stablecoin USDe saw one of its sharpest monthly contractions yet, while fiat-backed stablecoins like USDT, USDC and PYUSD attracted billions in inflows CoinGecko data showed that Ethena’s USDe stablecoin fell from a market capitalization of $9.3 billion on Nov. 1 to a

Author: J.A.E, PANews With its unique Delta neutral hedging strategy, USDe has become a censorship-resistant, scalable synthetic dollar that can capture perpetual contract funding rate yields, driving the issuer Ethena to rapid rise, with the TVL (Total Value Locked) once approaching the $15 billion mark, being regarded by the industry as a key force challenging the duopoly of traditional centralized stablecoins USDT and USDC. However, entering October 2025, Ethena's situation took a sharp turn for the worse, facing severe structural challenges. In just two months, the protocol suffered a series of blows, including a halving of USDe TVL and the unexpected termination of incubated ecological projects. These events prompted the market to begin reflecting: Is Ethena's core mechanism vulnerable to external environmental influences? Is the high-growth model of the protocol in its early days sustainable? And where is its second growth curve?

Author: @Super4DeFi First of all, I declare that I do not understand contracts, only lending. This short article is written in response to a causal chain that I saw a friend write in their Moments, which was very well done. If there are any mistakes or omissions, I hope everyone can correct them. usde will be launched on Binance in September, and from September 22 to October 22, there will be a marketing event offering an APY of 12%. There are three ways to participate in this event: 1. VIP loan, which can achieve a 3.5 times revolving loan; 2. Easy Deposit and Loan, can achieve 3.5 times through revolving loans; 3. Leverage trading, large investors can achieve 5x leverage. First, let's talk about this decoupling event and the conclusion of the impact on the three products: 1. VIP loan users, no disaster area. The funding side is not affected. However, in the morning of the 11th, due to Binance taking over the collateral assets, this part was valued at 0, but liabilities were displayed, so at that time a

crypto market panorama BTC (+0.57% | Current price 89,226 USDT): After receiving support around 86,000 USD, BTC has slightly rebounded to the 88,000–89,000 USD range along with the overall market, and the short-term structure is gradually stabilizing. In terms of moving averages, MA5 and MA10 are steadily operating above MA30, indicating that the price is maintaining a mild recovery pace, but overall still lacks clear trend breakthrough signals. It is necessary to observe whether the price can continuously stay above 88,000 USD to strengthen the rebound momentum. The MACD red bar significantly expanded on the 25th but subsequently gradually converged, indicating that although short-term buying pressure has increased, the market's willingness to chase prices remains limited. If BTC can stabilize above 87,500–88,000 USD, then the upward oscillation structure can continue; if it falls below 87,000 USD, it may once again.

Author: Frank, PANews The market crash on October 11 not only broke through the price defenses of crypto assets but also ignited a "billion-dollar migration" in the stablecoin sector. Data shows that since October, the total market value of stablecoins has shrunk from 308.7 billion to 302.8 billion, with nearly 6 billion in funds leaving the market. In this tide retreat, the compliant stablecoin USDC is the hardest hit, with its supply on the Solana chain plummeting. Meanwhile, the previously popular "calculated stablecoin star" USDe has also seen a significant decline in issuance due to leveraged liquidation in circulating loans. However, this is not merely a case of capital fleeing, but a brutal competition. When we peel away the fog of data, we find that this is a shift from "speculation" back to "rationality," with funds flowing from high-leverage on-chain gaming arenas to those with stronger compliance, smoother fiat gateways, and real yields from RWA.

USDe from Ethena is a native encryption synthetic stablecoin that generates returns through perpetual funding rates. Despite its actual usage continuing to grow, its Total Value Locked recently fell from 14.8 billion USD in October to 7.6 billion USD, a decline of over 50%. The current Annual Percentage Rate of USDe is about 5.1%, down from double-digit returns at the beginning of the year, due to a soft market and a decrease in leverage demand leading to a narrowing of perpetual futures funding rates.

The total lock-up value of Ethena's synthetic stablecoin USDe fell from 14.8 billion USD in October to 7.6 billion USD, a drop of over 50%. This was mainly caused by the closing of leveraged strategies in DeFi protocols. Despite the decline in TVL, the on-chain transaction volume of USDe exceeded 50 billion USD, indicating a rise in usage.

USDe, một stablecoin tổng hợp từ Ethena, đã chứng kiến tổng giá trị bị khóa (TVL) giảm hơn 50% từ 14.8 tỷ USD xuống 7.347 tỷ USD, bất chấp nhu cầu đang tăng. Điều này phản ánh những phức tạp của các stablecoin sinh lợi trong DeFi và tác động của đòn bẩy lên sự biến động của tài sản.

The total lock-up value of the native synthetic stablecoin USDe under Ethena plummeted from 14.8 billion USD in October to 7.6 billion USD, a decline of over 50% in just one month, setting a record for the largest capital outflow from yield-bearing stablecoins in DeFi. Despite a continuous increase in on-chain actual usage, with last month's trading volume surpassing 50 billion USD, the compression of the funding rate for perpetual futures led to the annual percentage rate dropping from double digits to 5.1%, below the 5.4% borrowing cost of USDC on Aave, triggering a large-scale close position of leveraged circular strategies. This phenomenon reveals the systemic vulnerability of yield-bearing stablecoins within the DeFi ecosystem; while the leverage mechanism amplifies the growth cycle, it also accelerates capital outflow during the recession period.

Anchorage Digital Bank is expanding access to USDtb, the first federally regulated stablecoin in the United States, following a partnership that makes the firm the sole issuer of the token. Anchorage Digital Pushes USDtb Forward With Full Mint-and-Redeem Access Anchorage Digital Bank now lets

In November 2025, spot Bitcoin ETFs saw an outflow of $3.55 billion, nearing the all-time record of $3.56 billion set in February, making it one of the worst months for capital withdrawals since the ETFs were launched. Meanwhile, stablecoin supply contracted for the first time in months, with the circulating supply of algorithmic stablecoin USDE nearly halved since October, indicating that capital continues to exit the cryptocurrency market. Greg Cipolaro, Global Head of Research at NYDIG, analyzed that the market demand mechanism which previously drove Bitcoin to record highs has completely shifted, but the long-term bullish thesis remains intact.

The recent crash on Oct. 10 was the largest liquidation event in the crypto market’s history. More than $19 B was liquidated, according to CoinGlass data, leading to a $65 B decline in open interest. This number dwarfs other memorable liquidation cascades such as the COVID-19 crash with $1.2 B, or e

This article uses the example of USDe plummeting to $0.65 on CEX, while the on-chain price is 0.99, to analyze the localized liquidation cascading risks caused by liquidity isolation in the crypto market, and reveals the destructive power of indiscriminate liquidations by liquidation bots and the bottlenecks of deposit and withdrawal channels in a liquidity vacuum. This article proposes a circuit breaker mechanism algorithm based on composite quantitative indicators, utilizing price deviation, order depth, and large-scale liquidation exposure as triggering reference conditions. The circuit breaker mechanism aims to provide the market with an adjustment window of n minutes, allowing market makers to overcome operational frictions such as large withdrawals/deposits and on-chain congestion, injecting external liquidity. Ultimately, trading is restarted through an orderly collective auction to prevent the vicious cycle of liquidation, ensuring market structure stability and alleviating and reducing the misfortune of positions that do not need to be liquidated. 1. The fragmented structure of liquidity in the crypto market 1.1. Crypto Market Liquidity Map

Stablecoin pegging failed five times (2021-2025), erasing $60 billion. IRON, UST, USDC, USDe, and xUSD crises exposed pegging flaws. Each collapse proves stablecoin pegging requires three pillars: mechanism integrity, market confidence, and regulation—any failure triggers catastrophic de-pegging spirals.

Synthetic Dollar Ethena is challenging the market dominance of USDC and USDT, as it offers higher yields through basis trading strategies, attracting a large amount of Liquidity. Ethena's USDe has become a core Collateral on major exchanges, and it is expected to capture a 50% market share of the stablecoin market in the future.

Vishal Kankani from Multicoin Capital announced the firm's investment in Ethena Protocol's token, ENA. He sees its synthetic dollar, USDe, as unique due to its significant liquidity and potential in combining stablecoin, permanence, and asset tokenization trends. USDe has generated substantial revenue.

According to Deep Tide TechFlow news, on November 15, Multicoin Capital announced that its liquidity fund has invested in the native token ENA of the Ethena Protocol, stating that USDe is becoming the only "third force" synthetic dollar to achieve large-scale circulation and depth liquidity after USDT and USDC. According to the interpretation of Vishal Kankani, the latest research and investment head at Multicoin: The circulation scale of USDe once reached 15 billion USD, and is currently about 8 billion USD. The protocol has accumulated nearly 600 million USD in revenue, of which 450 million USD came from the past 12 months. USDe has been listed on Binance and Bybit.

Ethena's stablecoin USDe is currently experiencing a large-scale outflow of funds, with a circulating supply reduced by about 6.5 billion compared to its peak. The main reasons are the cooling market sentiment and declining yields. Despite facing capital outflows and scalability issues, Ethena's operations remain relatively stable and transparent, but attention must be paid to the risks brought by changes in the market environment.

Original title: "USDe issuance scale plummets by 6.5 billion USD, but Ethena faces even greater problems" Original author: Azuma Source of the original text: Reprinted: Mars Finance Ethena is experiencing the largest capital outflow since its inception. On-chain data shows that the circulating supply of USDe, the main stablecoin product under Ethena, has fallen back to 8.395 billion, down approximately 6.5 billion from the peak figure of nearly 14.8 billion at the beginning of October. Although it cannot be said to be "cut in half", the decline is already quite astonishing. Recently, there have been frequent security incidents in DeFi, particularly with two interest-bearing stablecoins, Stream Finance (xUSD) and Stable, which claim to use a Delta-neutral model similar to Ethena.

The stablecoin sector finally hit a speed bump this week, trimming $1.925 billion from its market cap after a long winning streak. Leading the cutback was Ethena’s USDe, which slipped 7.91%. To make matters spicier, two stablecoins also lost their dollar composure, wobbling off their $1 targets

By the way, according to the data of @tomwanhh and Wu Blockchain, Ethena’s stablecoin, USDe, a yield-bearing stablecoin, has been redeemed for over $700 million in just 7 days. After the failure of xUSD and deUSD injected concern on the safety of yield-based stablecoins, the redemption wave began.

Author: Eric, Foresight News The reason behind the collapse of xUSD issuer Stream Finance was finally clarified yesterday. The Delta neutral strategy experienced losses during extreme market conditions due to ADL (Auto-Deleveraging), which caused the collateral assets to suffer losses. The risks associated with entrusting funds to third parties for off-chain operations and employing cyclical leverage strategies accumulated over time. When third-party losses approached nearly $100 million, the situation abruptly escalated, ultimately leading to insolvency. In a 2023 article I translated, Professor Austin Campbell from Columbia Business School pointed out that Ethena's issued USDe is not a stablecoin but rather a share of Ethena's structured financial products. The de-pegging of xUSD itself has also impacted many DeFi strategies that relied on this "stablecoin," as well as some that used xUSD.

The liquidation event on October 11 is referred to as "Red Friday" by the Western community. It not only caused fluctuations in the crypto market but also led to the complete collapse of the DeFi project Stream xUSD, which claimed to be "stable." Originally, Stream promised to stabilize prices using a "delta neutral" hedging strategy, but it has now found itself in a crisis of insolvency due to opaque high-risk operations and severe market fluctuations. From the perspective of Trading Strategy, we will comprehensively break down the ins and outs of this event and its impact on the entire Decentralized Finance ecosystem. (USDe Flash Crash Storm: The largest single-day liquidation in history, severely impacting the crypto market, with Binance experiencing order book failures) What is Stream xUSD? A hedging fund masquerading as a stablecoin. Stream xUSD claims to be a "decentralized stable

War. War Never Changes. The direct causes of the events on October 11 and November 3 were not yield-bearing stablecoins, but they dramatically impacted USDe and xUSD in quick succession. Aave's hard-coded USDe peg to USDT prevented the on-chain crisis at Binance from spreading further, and Ethena's minting/redeeming mechanism remained unaffected. However, the same hard coding also prevented xUSD from crashing outright, leading to a prolonged period of stagnation. The issuer, Stream, couldn't clear bad debts in time, and related parties like Elixir and its yield-bearing stablecoin product, deUSD, also faced scrutiny. In addition, several Curators (my translation for the key managers) on Euler and Morpho accepted xUSD assets, and user assets across various platforms...

Stream Finance Reports $93 Million Loss, xUSD Depegs to $0.20, Chain Reaction Rapidly Spreading Across Multiple DeFi Platforms! What's the underlying mechanism? (Background: Stablecoin xUSD depegged from $0.54, Balancer was hacked, exacerbating the crash) (Additional context: USDe depegged to a low of $0.65 overnight! Chain liquidations exposed the fragility of synthetic stablecoins) On November 4th, DeFi protocol Stream Finance announced that approximately $93 million of user assets were lost due to external fund managers, and all withdrawals and deposits have been temporarily halted. The closely related staked stablecoin, Staked Stream USD (xUSD), experienced a severe depeg, dropping to around $0.20 at the time of writing.

Author: Zuo Ye The direct triggers of the events on October 11 and November 3 were not yield-bearing stablecoins, but they dramatically struck USDe and xUSD in succession. Aave hardcoded USDe to peg to USDT, obstructing the on-exchange crisis from spreading onto the blockchain, while Ethena's own minting/redeeming mechanism was also unaffected. However, the same hard coding has caused xUSD to be unable to directly collapse, falling into a prolonged period of garbage time, where the issuer Stream's bad debts cannot be cleared in a timely manner, and the related party Elixir and its YBS (yield-bearing stablecoin) product deUSD are also facing scrutiny. In addition, multiple Curators (translated as "Curators") on Euler and Morpho accept xUSD assets, and user assets randomly explode in various Vaults, lacking.

The global stablecoin market is set to experience explosive growth from 2024 to 2025, with a total market capitalization surpassing 300 billion USD and an annual growth rate as high as 82.9%. This growth is attributed to the historic regulatory breakthroughs of the US GENIUS Act and the EU MiCA regulations. The market landscape is diversifying, with the market shares of USDT and USDC dropping to 83.6%, while emerging projects like Ethena's USDe are rising. Dedicated stablecoin public chains (such as Plasma, Stable, Arc), yield-generating stablecoins (like USDe), enterprise-grade payment infrastructure, and payment protocols aimed at AI agents constitute the four core tracks of the stablecoin infrastructure revolution.

The crypto stablecoin arena has a new rising star, and its name is Ethena. This is thanks, in large part, to its flagship synthetic dollar, USDe, which has been one of the top-performing assets among the crypto top 100 in recent months By August 2025, USDe’s supply had surged to

In October, the stablecoin market grew by 2.47%, led by Tether (USDT) which increased by $7.78 billion. While USDC crossed $75 billion, Ethena's USDe fell 36.57%, contrasting with gains from other competitors like USDG.

$ENA holds crucial support at $0.48 and faces major resistance near $0.60, defining the market’s next directional phase. USDe stablecoin adoption broadens through integrations with Sui, Jupiter, and MegaETH, proving resilience and expanding collateralized utility. The upcoming 94.19 million ENA

Hedera delivers fast, energy-efficient enterprise solutions supported by major global corporations. Sui Network powers high-speed gaming and NFT innovation with developer-friendly design. Ethena redefines DeFi with a transparent, yield-generating synthetic dollar called USDe. The crypto market is

Ethena has been on a roll lately, and it’s starting to show across the charts and headlines. The project’s flagship stablecoin USDe just became the third-largest stablecoin in the world, overtaking DAI with a market cap of $12.26 billion, according to Santiment That’s a massive milestone for a pro

Ethena’s USDe has become the third-largest stablecoin, leveraging a synthetic model and dual-token strategy. Despite facing challenges, it shows strong user growth and potential to rival USDC, amid a booming stablecoin market fueled by regulatory clarity.

Recently, the Black Swan Event of Binance has highlighted the potential risks of financial products offered by Centralized Exchanges (CEX). (Background: MEXC launched a 30 million USD MEXC Foundation to cultivate the next generation of leaders leading the future of Web3.) (Additional context: MEXC is hosting an Eco Month event in collaboration with Solana, with a continuous million-dollar prize pool.) *This article is a sponsored piece provided by MEXC and does not represent the position of the blockchain district, nor does it constitute investment advice, purchase, or sale recommendations. Please see the end of the article for liability warnings. The crypto market witnessed another Black Swan Event on October 11. Binance (Binance) platform's USDE, BNSOL and

Guy Young, co-founder of Ethena Labs, announced that the company will recruit about 10 new engineers, expanding the existing team of 20-25 people by 40%-50%. Ethena plans to launch two new products in the next three months. Currently, USDe is the third-largest stablecoin, and this expansion marks Ethena's first large-scale team expansion since its establishment.

According to Mars Finance news, on October 20, Ethena Labs officially announced on social media that the PT tokens of USDe and sUSDe have been launched on the Aave Plasma platform, with a supply limit of 200 million USD for each token. Given that the borrowing interest rate for USDT remains around 4%, Plasma has now become the best on-chain place for users to obtain leveraged PT positions through Aave. Multiple rounds of quota increases are expected in the near future.

Story Highlights ENA price surges 9.86% daily, riding on USDe stablecoin confidence Key resistance looms at $0.512 $0.42 support is now in the spotlight for traders

Source: CoinGecko Translation: Shan Ouba, Jinse Finance In the third quarter of 2025, the cryptocurrency market continued its upward trend for the third consecutive quarter. The total market capitalization increased by 16.4%, adding $563.6 billion, reaching $4.0 trillion, the highest level since the end of 2021. This quarter marks the entry of the cryptocurrency market into the second round of recovery, driven by factors including a surge in liquidity, a reflow of institutional funds, and a significant rebound in trading activity. The average daily trading volume increased by 43.8%, reaching $155 billion, reversing the downward trend of the first and second quarters. The stablecoin market size hit a new high, with a total market value growth of 18.3% to $287.6 billion, where the demand for USDe and USDC continues to rise. Meanwhile, decentralized finance made a strong comeback, with the total value locked increasing by 40.2%, in the overall

Original: Odaily Odaily Daily Author: Golem Although the epic drop on "10.11" has come to an end and the market is gradually recovering, the single-day historical highest liquidation ($19.3 billion) created by this drop still casts a shadow over the market. Many investors believe that the outspoken Trump should take the blame, while others point fingers at Binance, insisting that the decoupling of USDE, BNSOL, and WBETH prices is the main reason for the further decline in the market. Binance officials explained the decoupling issue as a temporary technical failure of some platform modules due to the overall market setback. As for the extreme low price situation in certain spot trading pairs, it was mainly caused by historical limit orders being triggered under one-sided liquidity, UI display precision issues, and other reasons. Binance has taken responsibility for the platform, compensating users for the losses from collateral liquidation caused by the depegging of USDE, BNSOL, and WBETH.

Author: Benson Sun Foreword A few days ago, the cryptocurrency market experienced the largest liquidation wave in history. Many analysts, including myself, first noticed the significant decoupling of the USDe stablecoin on Binance. At that time, we speculated that this was due to the circular loan liquidation caused by Binance's 12% annualized yield USDe promotional event. In retrospect, this theory is incorrect. Decoupling is not the cause, but rather the result. The market had already collapsed before the fluctuations in USDe. Two-minute fault line Between 21:18 and 21:20 UTC, Binance experienced an abnormal withdrawal of synchronized liquidity. The order book was almost drained, and the market briefly fell into a complete vacuum. When risk events occur, it is normal for market makers to widen the spread and temporarily withdraw capital. But this is not ordinary caution; it is a complete retreat.

Ethena's synthetic dollar USDe briefly depegged on the BNB platform, with a market capitalization falling from 14.8 billion USD to 12.6 billion USD, evaporating over 2 billion USD. This USDe depeg crisis temporarily caused the token price to drop to 0.65 USD, although it later recovered to par, it has exposed the structural risks of synthetic stablecoins relying on basis trading.