#USDe Becomes Third-Largest Dollar-Pegged Stablecoin After Explosive Growth

Ethena Labs’ synthetic stablecoin, USDe, has made headlines by leaping into the top three stablecoins globally, surpassing #FDUSD after a staggering 75% market cap increase since mid-July. The rise pushes USDe’s total supply to approximately $9.3 billion, according to The Block’s data dashboard, cementing its position behind only #Tether ’s USDT and #Circle ’s USDC in the race for stablecoin dominance.

Regulatory Clarity Sparks Demand Surge After Trump Signs #GENIUS Act

According to Brandon Kae, research analyst at The Block, much of the recent USDe surge can be linked to the passage of the GENIUS Act, signed into law by President Donald Trump. The act is the first comprehensive regulatory framework in the U.S. for dollar-backed stablecoins, providing much-needed clarity for issuers, custodians, and investors.

Following the legislative milestone, Ethena Labs quickly moved to align USDe with the new framework, announcing a key custody partnership with Anchorage Digital, a federally chartered digital asset bank. The partnership allows USDe to be issued in the U.S. as a GENIUS-compliant stablecoin, which Kae believes gave investors confidence and enabled a spike in supply.