Ethena’s USDe Surpasses FDUSD with $3 Billion Supply 💰🚀

Bernard Nicolai

Ethena's USDe Surpasses FDUSD with $3 Billion Supply 💰🚀

Jun 2, 2024 3:19 PM

Blockchain, Crypto, Crypto Ecosystem, Crypto Market, Crypto Projects, DeFi, Ethereum, Financial, Stablecoin

Ethena’s USDe Synthetic Dollar Hits $3B Supply Milestone 🚀

Congratulations on reaching the $3 billion milestone for Ethena’s synthetic dollar, USDe. This achievement underscores the rising demand and trust in stablecoins within the DeFi ecosystem.

Ethena’s Synthetic Dollar Breaks $3 Billion Barrier

USDe, a dollar-pegged stablecoin developed by Ethena Labs, leverages staking ETH and managing derivatives to generate returns. Operating on the Ethereum blockchain, USDe enjoys full on-chain backing and seamless integration with other blockchain protocols.

USDe’s market valuation hit approximately $3.02 billion on June 2.
This positioned USDe as the fourth-largest stablecoin, outpacing FDUSD’s $2.9 billion supply.
Ethena’s CEO, Guy Young, highlighted USDe as the fastest USD asset in crypto history to achieve this milestone.

Ethena’s USDe Distribution Breakdown

As per EtherScan data:

Approximately 13,235 unique addresses hold USDe.
Ethena’s smart contract owns the lion’s share with 1.22 billion USDe (over 40% of supply).
The LP staking address holds 511.2 million USDe (16.8% of the total supply).
Notable holders include Pendle Finance, Morpho, and Zircuit.

Concerns and Criticisms

Despite its rapid growth, some experts have raised concerns:

DeFi expert Andre Cronje cautioned about USDe’s potential collapse akin to TerraUSD (UST) due to perpetual contracts and yield-based collateral.
CryptoQuant founder Ki Young Ju questioned USDe’s delta-neutral strategy sustainability during bear markets.

Project Traction and APY Offering

Despite criticisms, Ethena continues to gain momentum:

Ethena offers a 33.5% APY for USDe, attracting DeFi enthusiasts.
200,200 users have already joined, but new participants require an inviting code.

Congratulations to Ethena on USDe’s Rapid Growth 🎉

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USDe’s swift rise to a $3 billion supply underlines the escalating demand for innovative stablecoin solutions. Ethena’s success not only validates synthetic stablecoins but also establishes a new milestone in DeFi, paving the way for future adoption in the space.

Bernard Nicolai

Author – Contributor at Lolacoin.org | Website

Bernard Nicolai emerges as a beacon of wisdom, seamlessly harmonizing the roles of crypto analyst, dedicated researcher, and editorial virtuoso. Within the labyrinth of digital assets, Bernard’s insights echo like a resonant chord, touching the minds of seekers with diverse curiosities. His talent for deciphering the most intricate strands of crypto intricacies seamlessly aligns with his editorial finesse, transforming complexity into a captivating narrative of comprehension. Guiding both seasoned adventurers and inquisitive newcomers, Bernard’s insights forge a compass for informed decision-making within the ever-evolving tapestry of cryptocurrencies. With the artistry of a wordsmith, they craft a narrative that enriches the evolving chronicle of the crypto cosmos.