Lucía Peña
Binance, the world’s largest cryptocurrency exchange, is rolling out Ethena Labs’ USDe synthetic dollar across its ecosystem. The rollout begins with a USDe/USDT spot trading pair, marking what Ethena Labs called “one of our most important integrations to date.”
Alongside spot trading, Binance will enable USDe to function as collateral in both futures and perpetual contracts. Users will also be eligible to earn rewards directly on their collateral balances, with payouts starting later this month.
USDe will be integrated into Binance Earn, allowing customers to receive dollar-denominated yield simply by holding the asset. Rewards will be distributed weekly across the platform, including portfolio margin accounts used for derivatives trading.
“USDe is the first externally developed dollar-pegged asset available on Binance with built-in rewards,” Ethena Labs highlighted in its statement.
The Largest Non-Fiat Synthetic Dollar
With nearly $13 billion in circulation, USDe is currently the largest non-fiat-backed dollar asset. Its peg to the U.S. dollar is maintained through hedged crypto positions, while holders earn ongoing yield.
The integration could be a game-changer for Binance, where trading has traditionally been dominated by Tether’s USDT. By introducing USDe as yield-bearing collateral, Ethena argues the move will boost capital efficiency across the exchange.
Impact on ENA and Governance
The timing coincides with Ethena considering a “fee switch” mechanism for its governance token ENA, which would share protocol revenue with holders. Former BitMEX CEO Arthur Hayes suggested the Binance listing could accelerate this decision, potentially unlocking $500 million in buybacks.
At press time, ENA trades at $0.79, up nearly 2% on the day and recovering strongly from a June low of $0.23. The token’s all-time high remains $1.52.
Potential Market Shake-Up
Binance, home to an estimated 280 million users, has historically leaned heavily on USDT liquidity. Ethena believes USDe could disrupt this dominance, noting that traders can now use USDe to collateralize their entire portfolio while earning rewards.
A similar integration on rival exchange Bybit in 2024 saw USDe surpass USDC usage among traders, now accounting for 12% of total USD balances on the platform.
What’s Next for USDe on Binance
Binance confirmed that more spot trading pairs involving USDe are in development. Meanwhile, StablecoinX, a venture formed from TLGY Acquisition Corp. and StablecoinX Assets Inc., recently announced a $530 million private placement to expand its ENA treasury, signaling more growth around the ecosystem.
