Ethereum News Today: Ethena's USDe Surges 75% in Three Weeks to $9.3B Market Cap

Ethena’s USDe has rapidly ascended to become the third-largest stablecoin in the market, achieving a market capitalization of $9.3 billion following a 75% surge in just three weeks [1]. This growth has surpassed both FDUSD and Dai, signaling a significant shift in the stablecoin landscape. The expansion is attributed to Ethena’s strengthened algorithmic model and a favorable ETH price environment, allowing for sustainable and efficient supply growth [1]. USDe’s adoption has also been bolstered by integrations with major DeFi platforms such as Curve Finance and its presence on centralized exchanges like Bybit, where it accounts for over 30% of trading activity [1].

The native token, ENA, has mirrored USDe’s upward trajectory, reaching a peak of $0.68 in mid-July with a 15% increase within 24 hours [2]. The token’s performance is closely tied to the broader “Ethena summer” narrative, which has reinforced confidence in algorithmic stablecoins during the 2025 bull run. A planned $100 million token unlock has added speculative momentum, raising concerns about potential volatility in the short term [2].

A critical factor supporting USDe’s adoption is its staking mechanism. Staked USDe (sUSDe) has maintained a premium, rising from $1.08 to $1.19 over the past year, reflecting strong market confidence [1]. However, unstaking remains subject to market conditions, particularly high redemption demand, which can cause delays. This dynamic underscores the balance Ethena must maintain between liquidity and stability.

The average annual percentage yield (APY) for USDe has surged to 8.85%, up from 3.51% in early July, driven by ETH prices rising above $3,800 [1]. While this high yield is attractive, it also highlights the platform’s exposure to ETH volatility. A sharp decline in ETH prices could necessitate a contraction in supply, posing risks to the stability of the stablecoin model.

Ethena’s total value locked (TVL) has risen to $9.53 billion, further reinforcing confidence in its ecosystem [3]. This growth aligns with a broader trend in the stablecoin market, where nearly all major stablecoins have seen increased supply in recent weeks. The total stablecoin supply has grown by $1.96 billion in the last seven days, reflecting expanding demand for stable assets across both centralized and decentralized markets [1].

Ethena’s USDe has also made progress in regulatory compliance. Anchorage Digital has partnered with Ethena Labs to issue the first GENIUS-compliant stablecoin in the U.S., aligning with institutional compliance standards and regulated frameworks [1]. Additionally, the Ethena Foundation is launching a SPAC, StablecoinX, designed to acquire millions in ENA tokens, potentially reducing circulating supply and enhancing price stability [1].

A 40.63 million ENA token unlock occurred on August 2, which could influence short-term volatility depending on market absorption [1]. Meanwhile, the price of ENA has been consolidating near $0.60, holding above critical support at $0.58–$0.56. Resistance is positioned at $0.65–$0.70, with a potential breakout targeting $0.85–$1.00. The RSI remains neutral, indicating a balance between bullish and bearish forces following the recent correction [1].

USDe’s circulating supply now stands at $9.49 billion, with its yield-bearing counterpart, USDe (USDTb), reaching $1.44 billion. This represents rapid expansion over the three-week period [1]. The stablecoin has over 757,000 active users interacting with it across 24 integrated blockchain networks. Its collateralization ratio is at 100.71%, and it has traded below its $1 peg for less than 0.2% of its operational time, demonstrating consistent price stability [1].

USDe is also being deployed natively on the TON blockchain, enabling Telegram’s 1 billion+ users to send, save, and transact with the stablecoin directly within the messaging app. This expansion into new user bases further strengthens the fundamental support for ENA [1]. Additionally, a new money market integration with Aave allows users to deposit a 50/50 combination of sUSDe and USDe, combining staking rewards, lending yields, and promotional incentives [1].

These developments suggest that USDe is not only a rising force in the stablecoin space but also a key player in the broader DeFi ecosystem. As the market continues to evolve, Ethena’s ability to balance innovation with stability will be critical to maintaining its position among the top stablecoins [1].

Source:

[1] Ethereum News Today: Ethena's USDe Soars 75% in July... (https://www.mitrade.com/au/insights/news/live-news/article-3-1009127-20250804)

[2] Ethena Price Shoots 14% Ahead of Massive $100M Token... (https://coingape.com/ethena-price-shoots-14-ahead-of-massive-100m-token-unlock-sell-off-ahead/)

[3] ENA leads crypto recovery amid steady DeFi TVL (https://www.fxstreet.com/cryptocurrencies/news/ethena-price-forecast-ena-leads-crypto-recovery-amid-steady-defi-tvl-202508041310)