Ethena Labs and Safe Foundation Partner to Enhance USDe Adoption with Gas-Free Transactions and Rewards Boost

Ethena Labs and the Safe Foundation have announced a strategic partnership to improve the user experience for holders of USDe, a crypto-native synthetic dollar. The collaboration aims to cut gas costs for USDe transactions on the Ethereum mainnet and increase the earning potential for users.

The partnership introduces two key benefits for USDe holders within the Safe ecosystem. First, Safe accounts holding USDe will receive a 10x boost multiplier on their accrued points during the current Ethena points program. Second, all Ethereum mainnet transactions made by USDe holders using Safe Smart Accounts will be gas-free.

Safe accounts already secure over $6.6 billion in stablecoins, including $65.1 million in sUSDe, the staked version of USDe. According to data from Dune, nearly 85% of all Ethena assets held in Safe accounts are in sUSDe, indicating strong institutional adoption.

Why Did This Happened?

The partnership reflects Safe's broader strategy to move the stablecoin economy onto self-custodial rails. By reducing transaction costs and increasing rewards, Safe and Ethena Labs aim to position the Safe ecosystem as the preferred platform for accessing Ethena's products.

Safe has established itself as a secure and reliable solution for onchain crypto management, particularly for crypto-native teams like DAOs and institutional users. The platform offers battle-tested security and smart contract flexibility, making it an attractive option for managing large stablecoin holdings.

How Did Markets Respond?

Market analysts have noted the growing importance of institutional-grade custody solutions in the DeFi space. The integration of USDe into Safe accounts aligns with the increasing demand for secure and user-friendly tools for managing onchain assets.

The move also highlights the ongoing evolution of the stablecoin market, where non-fiat-backed stablecoins like USDe are gaining traction. USDe, which maintains its $1 peg through a delta-neutral strategy, has emerged as one of the largest tokenized dollars on Ethereum.

What Are Analysts Watching Next?

Analysts are monitoring how the partnership affects the adoption of USDe in institutional settings. Safe's extensive user base and reputation for security could help accelerate the use of USDe in treasury management and other financial applications.

Another area of interest is the broader impact of the partnership on the DeFi ecosystem. By removing transaction costs and enhancing rewards, the collaboration could encourage more users to interact with Ethena's products and contribute to the growth of the DeFi economy.