In the crypto world, what is the most underestimated use of stablecoins? It is not for trading hedges, but for generating stable passive income.
Although Bitcoin and Ethereum are highly volatile, stablecoins can quietly accumulate returns under the premise of 'no volatility'. Today, we focus on an emerging star in the field—$USDe + Ethena protocol, a combination that can achieve an annual yield of over 10%.
🧊 1/ Why is earning passive income with stablecoins the trend of the future?
In the past few years, many DeFi protocols and CeFi platforms have collapsed one after another. People are gradually losing patience with high-volatility assets and are starting to seek a combination of 'stable returns + secure custody'.
This is also the core logic behind the continuous increase in the market value of stablecoin staking protocols: stability, compliance, and continuous cash flow generation.
🔍 2/ What is a 'trusted stablecoin'?
The 'trustworthy' mentioned in this article does not mean zero risk. Historical experiences like $UST tell us that even the strongest projects can collapse.
True 'trustworthiness' should be based on:
High transparency of the protocol (real-time on-chain monitoring)
Reasonable collateral structure (not purely algorithmic)
Strong community engagement (stable growth of TVL and locked assets)
Sustainable yield structure (not reliant on airdrop stacking)
$USDe is one of the emerging representatives in the market that meets these standards.
💰 3/ How is the yield structure of $USDe + Ethena composed?
Taking the Ethena protocol as an example, you can currently earn returns through the following methods:
Basic returns:
Stake $USDe on Ethena to generate $sUSDe and earn an average annual return of 4.47% (30-day average).
Additional rewards ($ENA incentives):
Ethena distributes 3-5% of $ENA tokens to staking users every 'quarter', with a continuous cycle of about 3-6 months.
💡 The comprehensive APY can typically reach between 9-11%.
⚙️ 4/ How to participate in the operation?
The operational steps are very simple and suitable for beginners:
Visit the official website: app.ethena.fi
In the Swap tab, exchange $USDT or $USDC for $USDe
In the Earn tab, stake $USDe as $sUSDe to start earning interest + airdrops
📈 For example:
Investing $10,000, with a conservative estimate, one could earn around $1,000 in returns after a year, no longer exclusive to whales; ordinary people can also easily participate.
⏳ 5/ Is the yield sustainable? When will it end?
According to Ethena's official token economic model (tokenomics), there is still 12.5% of $ENA incentives that are not unlocked, expected to continue until 2028.
In addition, the team may also extend reward incentives through market buybacks and other means to ensure the sustainability of returns.
✅ Summary conclusion:
In the current high-interest rate era, with mainstream crypto assets' prices fluctuating, stablecoin staking is becoming the new crypto 'bond market':
Annual returns stabilize in the range of 8-12%
No need to bear the price fluctuations of cryptocurrencies
Low operational threshold, high liquidity
The $USDe + Ethena combination is a representative project of this trend. Of course, all returns come with risks—you still need to assess the security of smart contracts, the reliability of the stablecoin model, and changes in market demand.
But what is certain is that in the next cycle, low risk + sustainable returns will be the mainstream strategy for the 'new wealthy' in the crypto space.
