Ethena USDe USDe Synthetic dollar
1 USDe held since February 2024 now buys what $0.93 bought back then — 7% of its purchasing power lost to US inflation. Stablecoin inflation calculator →
About Ethena USDe
Ethena USDe is not a stablecoin in the traditional sense but a synthetic dollar. Launched publicly in February 2024, it holds crypto such as staked ETH and bitcoin and hedges their price with short positions in perpetual futures, so the combined position stays worth about one dollar.
Staked USDe (sUSDe) earns the funding payments from those short positions plus staking rewards, which made it one of the fastest-growing dollar tokens in crypto. That yield depends on market conditions: when funding rates turn negative, the income shrinks or reverses, and Ethena keeps a reserve fund for those periods.
On October 10–11, 2025, during a record wave of liquidations, USDe fell to about $0.65 on Binance, whose collateral system priced it from its own thin order book, while it stayed within about 1% of $1 on onchain markets such as Curve. Redemptions kept working, but billions of dollars left USDe in the following weeks.
Key facts
| Issuer | Ethena Labs |
|---|---|
| Type | Synthetic dollar |
| Backing | Crypto collateral hedged with short perpetual futures, plus a reserve fund |
| Launched | February 2024 |
| Regulation | Not a regulated payment stablecoin |
| Official website | ethena.fi |
Peg history
Daily price of USDe against its $1 target. Daily data smooths out intraday moves, so the deepest depegs were lower than the chart shows — see the events below.
Notable depegs and incidents
- — Fell to about $0.65 on Binance during a record liquidation cascade while staying near $1 on Curve and other onchain venues; redemptions continued to work.
USDe supply over time
USDe FAQ
Is USDe safe?
USDe's risks differ from those of fiat-backed stablecoins: it relies on derivatives exchanges, custodians and positive funding rates, and its price can dislocate on individual venues under stress. It is not a regulated payment stablecoin.
What backs USDe?
Crypto collateral such as staked ETH, bitcoin and liquid stablecoins, hedged with short perpetual futures positions, plus a reserve fund.
Has USDe ever lost its peg?
October 11, 2025: Fell to about $0.65 on Binance during a record liquidation cascade while staying near $1 on Curve and other onchain venues; redemptions continued to work.
How much value has USDe lost to inflation?
Against the dollar, none — USDe is designed to stay at $1. Against what a dollar buys, about 7% since its launch in February 2024, based on the US consumer price index. Holding a stablecoin protects you from crypto volatility, not from inflation.
Compare USDe
What if you didn't want a peg?
Stablecoins copy the dollar — inflation included. Unstablecoins take the opposite bet: no peg, a fixed or shrinking supply and volatility on the label. See them in the live unstablecoin rankings.
Sources
Market data: DefiLlama (hourly). Inflation: US CPI-U from FRED. This page is informational and not financial advice.