Ethena’s USDe stablecoin has surged impressively, with its market capitalization soaring 75% in a short period to reach around $9.3 billion, making it the third-largest stablecoin in the crypto market behind Tether (USDT) and USD Coin (USDC). This remarkable growth reflects strong regulatory clarity and the rollout of new custody and trading infrastructure that is attracting fresh capital.
Key highlights include:
USDe’s supply jumped significantly due to favorable market conditions, especially Ethereum’s price rising above $3,800, supporting Ethena’s yield-bearing stablecoin model.
USDe overtook competitors like FDUSD and Dai, reaching the sixth-largest decentralized finance (DeFi) protocol by total value locked (TVL).
Demand is fueled by attractive yields averaging around 8.85% APY, boosted by institutional interest and widespread adoption on decentralized exchanges like Uniswap and Curve Finance.
Major exchanges such as Bybit have become significant trading venues for USDe, contributing to its liquidity and growth.
Regulatory steps like the U.S. GENIUS Act, mandating a 1:1 reserve backing for stablecoins, have increased investor confidence in stablecoins including USDe.
The rise of USDe signals a broader trend of yield-bearing, fully-backed synthetic stablecoins gaining traction as critical components bridging traditional financial systems and DeFi ecosystems.
In summary:
Ethena’s USDe is now the third-largest stablecoin by market cap at $9.3 billion.
Its rapid 75% growth is driven by ETH price rally, yield incentives, and stronger regulatory trust.
USDe’s success highlights evolving investor appetite for stablecoins that combine safety with attractive returns.
This marks an important milestone in stablecoin market maturation and institutional adoption.
