About
Ethena USDe is a crypto-native synthetic dollar designed to maintain a stable value of approximately 1 USD without reliance on traditional fiat reserves or bank-held assets. Unlike traditional stablecoins such as USDC or USDT which rely on cash or U.S. treasury reserves, USDe maintains its peg through a delta-neutral hedging strategy. This involves holding spot crypto assets (such as staked ETH, BTC, or liquid stablecoins) while simultaneously taking short positions in perpetual futures contracts to neutralize directional price risk.
The goal of Ethena and USDe is to create a decentralized dollar alternative that is censorship-resistant, scalable, and composable across DeFi and CeFi workflows. USDe can be used as a medium of exchange, collateral in lending/borrowing protocols, and as liquidity in decentralized markets. Holders can also stake USDe to receive sUSDe, a yield-bearing token that accrues rewards from staking income and funding rate revenue generated by the protocol’s hedging positions.
USDe operates across multiple blockchains (such as Ethereum, Arbitrum, Base, Solana, and others through LayerZero Omnichain integration), enabling broad ecosystem adoption. The design enables protocol composability, meaning USDe can be freely used across CeFi and DeFi markets while an ongoing governance framework (via the ENA token) governs key parameters like supported collateral types and risk settings.
