Ethena’s USDe loses $8.3B since October crash amid ‘loss of confidence’
Ethena's synthetic stablecoin USDe has seen $8.3 billion in net outflows since the October 10 crash due to waning confidence in leveraged models.Summary
Ethena’s synthetic stablecoin, USDe, has experienced a significant decline, shedding approximately $8.3 billion in net outflows since the major liquidation event on October 10, reflecting diminishing investor confidence in leveraged and synthetic collateral structures. Following the crash, which erased $1.3 trillion from the crypto market, USDe’s market capitalization fell from nearly $14.7 billion on October 9 to about $6.4 billion. The stablecoin also briefly depegged to $0.65 on Binance immediately after the crash, though Ethena Labs founder Guy Young attributed this to an internal oracle issue at the exchange, asserting that minting and redemptions functioned normally. The broader crypto market has also slowed, with trading volumes down roughly 50% and US spot Bitcoin ETFs seeing $5 billion in outflows, suggesting a deliberate pullback by regulated capital rather than just retail capitulation.
(Source：Cointelegraph)