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USDe

YZi Labs Boosts Support for Ethena as USDe Surpasses $13B

by admin September 19, 2025

YZi Labs has deepened its partnership with Ethena Labs, the creator of USDe, now the third-largest dollar-pegged asset in the crypto market. USDe has rapidly climbed to a $13 billion supply, becoming the fastest USD-backed digital asset to surpass $10 billion.

YZi Labs shared on X that Ethena Labs has been gaining attention due to its unique crypto-native synthetic dollar model. Back in February 2024, when YZi Labs was still called Binance Labs, it became one of the first investors in the project through its Season 6 Incubation Program.

At that time, Ethena had just launched and was still testing its special system designed to keep the dollar stable while also earning steady returns.

Nicola Wang, Investment Director at YZi Labs, said, “We were impressed by Ethena’s team and their unique approach to stablecoin design — building a crypto-native model that generates yield without relying on banks.”

Expanding Ethena’s Reach on BNB Chain

Ethena now commands more than $13 billion in total value locked (TVL) and integrates across leading DeFi platforms and centralized exchanges. Additionally, through new alliances, money markets, and protocol integrations, the protocol is growing its presence on the BNB Chain.

With the backing of YZi Labs, Ethena boosts the adoption of USDe across centralized and decentralized finance. This partnership will also speed up the creation of USDtb, a fiat-backed stablecoin aiming for GENIUS compliance, along with the rollout of Converge.

Converge was developed in collaboration with Securitize and BlackRock tokenization partners. It aims to introduce institutional-grade real-world assets (RWAs) to blockchain networks.

Guy Young, Founder and CEO of Ethena Labs, said, “With USDe now scaling across exchanges, DeFi protocols, and global user bases, that vision is becoming a reality.”

This announcement follows B Strategy’s recent plan to create a BNB treasury with an initial $1 billion investment. The initiative supported by YZi Labs aims to fund innovative projects and community efforts within the BNB Chain ecosystem.

YZi Labs sees USDe as the backbone of digital finance, blending stability, yield, and mainstream adoption into one growing ecosystem.

Also Read: UK-based IG Group Acquires Australian Crypto Exchange for $117M

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September 19, 2025 0 comments

GameFi Guides

ENA Surges on Binance USDe Listing and $500M Buyback Hopes

by admin September 9, 2025

Governance token of decentralized finance protocol Ethena ENA$0.6692 surged on Tuesday to its strongest since late January as the protocol has made a big step towards activate a fee switch that would share protocol revenues to token holders.

The token hit 87 cents in the early hours, advancing 8.3% over the past 24 hours, CoinDesk data shows. It’s up over 20% in a week.

The latest surge occurred as Binance, the largest crypto exchange by volume, said on early Tuesday it will introduce trading with USDe, Ethena’s $13 billion yield-generating token, on its platform starting Wednesday.

Listing the token on top exchanges is a key requirement for Ethena to enable the fee switch mechanism, sharing protocol profits with ENA token holders. The protocol made $54 million in revenues last month and over $480 million since its launch in late 2023, Token Terminal data shows.

“With the Binance USDE listing ENA fee switch is going to get turned on. That unlocks $500m of buybacks,” said Arthur Hayes, BitMEX co-founder and a prominent investor in Ethena.

Ethena catalysts

Besides the listing, there’s been a lot going for Ethena recently.

Ethena’s USDe token mushroomed to nearly $13 billion from $5.5 billion in-mid July as crypto investors chase yields. USDe, marketed as a “synthetic dollar,” uses bitcoin BTC$112,671.11, ether (ETH) and Solana’s SOL (SOL) as backing assets, pairing them with an equal value of short perpetual futures positions.

The strategy generates revenue on its backing derivative assets when the perpetual funding rates are positive and passes on some of the income as yield to investors. USDe currently pays out 6.5% annualized yield for those who stake their tokens, higher than traditional money market funds and USDC, USDT lending rates on DeFi lender Aave.

Ethena is also taking part in the digital asset treasury fever that’s captivating stock markets. StablecoinX and TLGY, two firms about to merge and get listed on Nasdaq, raised $530 million to accumulate ENA tokens as a public vehicle.

The protocol also participate in the booming stablecoin issuance business. It’s launching the native stablecoin for Ethereum scaling network MegaETH and hinted at entering the competition to issue popular derivatives exchange Hyperliquid’s upcoming stablecoin.

Read more: Crypto for Advisors: The Mechanics of Generating Yield On-Chain

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September 9, 2025 0 comments

Crypto Trends

Ethena Clears XRP, HYPE for USDe backing after onboarding BNB

by admin August 22, 2025

Ethena Labs has formally approved XRP and HYPE under its new Eligible Asset Framework. The metrics-driven approach, which recently onboarded BNB, mandates stringent liquidity and depth requirements for all assets backing USDe’s futures hedges.

Summary

Ethena Labs approved XRP and HYPE as eligible assets to back its USDe synthetic dollar, following BNB’s onboarding.
Both tokens cleared strict thresholds for liquidity, open interest, and trading volume under Ethena’s new Eligible Asset Framework.

According to an announcement on August 22, Ethena Labs’ independent Risk Committee has formally approved Ripple (XRP) and Hyperliquid (HYPE) tokens as eligible assets to back its USDe synthetic dollar.

The Ethena Risk Committee have established the Eligible Asset Framework, which represents a new approach to widening approved backing assets specifically for the perpetual futures portion of the collateral backing of USDe.

As part of the new framework, BNB has been approved as… pic.twitter.com/SiT0Dt549E

— Ethena Labs (@ethena_labs) August 22, 2025

The move follows the successful onboarding of Binance Coin (BNB) and is the first application of the protocol’s newly unveiled Eligible Asset Framework. Ethena Labs said the committee’s decision was based on a cold, hard analysis of quantitative data, with both assets clearing minimum thresholds for open interest, trading volume, and market depth across major exchanges.

The data behind the decision

To vet these assets, the committee relied on a rigorous data pipeline sourced primarily from the Coinglass Open API, with a cut-off date of August 16. This data spanned major centralized exchanges, including Binance, Bybit, and OKX, which serve as Ethena’s primary hedging venues.

The approval of XRP and HYPE was not a close call based on the published metrics. Both assets convincingly surpassed every minimum threshold. Each boasts a two-week average open interest well above the $1 billion benchmark, a critical measure that ensures Ethena’s trading team can establish large short positions without moving the market.

Additionally, their spot and perpetual trading volumes consistently exceeded $100 million daily, while their market depth, including the liquidity available within 1% of the current price, proved robust enough to handle significant trades without major slippage.

The committee also found that both assets cleared the 180-day minimum open interest hurdle of $300 million, demonstrating their market maturity and resilience even through periods of volatility, Ethena Labs said.

This data-centric approach also clearly delineated which assets did not make the cut. Despite their popularity and decent volatility profiles, both Sui (SUI) and Cardano (ADA) were rejected by the committee.

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August 22, 2025 0 comments