Ethena’s USDe Stablecoin Surges to All-Time High Market Capitalization of $9.3 Billion

On the back of a strong month for Ethena, demand is surging for USDe, the synthetic dollar protocol’s flagship stablecoin.

USDe’s market capitalization is up 75% over the last month and 24% over the last week to a new all-time high of $9.3 billion.

The rapid increase in USDe minting is likely catalyzed by overall excitement surrounding Ethena after the debut of the Stablecoin X treasury company, as well as staked USDe’s (sUSDe) high yield – currently 11% annualized.

Stablecoin X was unveiled on July 21 and is implementing a “deliberate, multi-year capital allocation” approach to the Ethena ecosystem, with plans to buy $260 million of ENA, roughly 8% of the circulating supply at the time of the announcement.

The Ethena Foundation also retains the right to veto any sales of ENA by Stablecoin X at its sole discretion, forcing the accumulated tokens to be utilized for re-investment and infrastructure building, effectively removing them from circulation.

Guy Young, the founder of Ethena, shared that USDe inflows have surpassed all BTC ETFs combined and Blackrock’s ETHA Ethereum ETF over the last 20 days. Cumulative ETH ETF inflows over the last 20 days slightly outpaced the increase in USDe supply.

The ENA token is up 140% over the last 30 days, outperforming the broader altcoin market. For comparison, BTC and ETH are up 6% and 40% in the same timeframe.