Ethena Labs has expanded the checklist of eligible belongings to assist its artificial greenback, USDe, by approving BNB, XRP, and Hyperliquid’s HYPE.
The transfer is a part of a brand new Eligible Asset Framework that units clear benchmarks for which tokens can be utilized within the stablecoin’s collateral system.
Liquidity considerations
Based on the Ethena Threat Committee, the framework addresses liquidity considerations in spot and perpetual futures markets. The committee famous that the thought of belongings should clear a minimal threshold earlier than they are often deemed appropriate for the hedging technique that underpins USDe.
Beneath the coverage, an asset should present greater than $1 billion in open curiosity over a two-week interval, at the very least $100 million in mixed day by day spot and perpetual buying and selling quantity, and enough market depth on each side.
Particularly, the order books should reveal about $500,000 in spot depth and $10 million in perpetual depth, averaged over two weeks.
The committee mentioned these excessive standards intention to scale back the chance of slippage and execution delays that would happen throughout portfolio rebalancing.
Though approval indicators {that a} token meets the framework’s necessities, the committee clarified that onboarding might not occur instantly. Notably, BNB is the primary eligible asset backing USDe underneath this new framework.
USDe to $20 billion
Ethena founder Man Younger has shared a bullish outlook for USDe development, predicting that the asset’s provide might attain $20 billion.
Based on him, USDe’s circulation practically doubled in the course of the Federal Reserve’s late-2024 easing cycle, when funding spreads towards Treasury payments jumped from close to zero to over 20% in only a few weeks.
Contemplating this, Younger predicted that the stablecoin’s provide might exceed $20 billion inside a month if comparable situations emerge within the present cycle.
The projection comes as USDe secures a list on Coinbase, marking a major milestone for the mission’s accessibility within the US market.
USDe is the third-largest stablecoin, trailing solely USDT and USDC, with a circulating provide of $11.8 billion, in line with CryptoSlate knowledge.
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