Ethena is a synthetic dollar protocol built on Ethereum that provides a crypto-native solution for money not reliant on traditional banking system infrastructure, alongside a globally accessible dollar denominated rewards instrument - the 'Internet Bond'.
Ethena's synthetic dollar, USDe, provides the crypto-native, scalable solution for money achieved by delta-hedging Ethereum and Bitcoin collateral. USDe is fully-backed (subject to the discussion in the Risks section regarding events potentially resulting in loss of backing) and free to compose throughout CeFi & DeFi.
USDe peg stability is supported through the use of delta hedging derivatives positions against protocol-held collateral, maintaining a relatively stable value with reference to the value spot crypto assets as well as futures positions.
The 'Internet Bond' combines revenue derived from staked assets (e.g., staked Ethereum), to the extent used as backing assets, as well as the funding & basis spread from perpetual and futures markets, to create the first onchain crypto-native solution for money.
- Permissionless Acquire USDe. Access external AMM pools to acquire or dispose of USDe with assets such as USDT or USDC.
- Direct Mint USDe. Deposit accepted reserve assets and receive USDe, subject to clearing KYC/KYB checks exclusively for approved market making counterparties. See Supplemental USDe Terms and Conditions.
- Direct Redeem USDe. Burn USDe & receive backing assets, subject to clearing KYC/KYB checks exclusively for approved market making counterparties. See Supplemental USDe Terms and Conditions.
- Stake & Unstake USDe. Receive rewards in the form of protocol revenue. Available exclusively for users in permitted jurisdictions.
