Ethena USDe (USDe)

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➥ The Stablecoin Yield Wars - where does the yield actually come from?

Stablecoin yield is no longer one market, because each protocol generates returns through a different risk engine.

» funding + staking → @ethena / $USDe
» protocol revenue → @SkyEcosystem / $USDS
» options + arbitrage → @falconfinance / $USDf
» delta-neutral + risk tranching → @ResolvLabs / $USR
» RWA + token rewards → @usualmoney / $USD0
» U.S. Treasuries → @OpenEden_X / $USDO

one thing to note: higher APY usually means more moving parts, more counterparties or more exposure to market conditions.

I personally prefer to diversify across RWA-backed and crypto-native models instead of chasing the highest displayed yield.

btw, the winner may not offer the highest APY, but the most transparent and sustainable source of yield ↓

Let's talk about Binance. Again

Greece knocked them back on their EU licence. Well — Binance pulled the application right before the regulator was going to reject it. Same thing. The biggest exchange in the world can't get a tick from one EU regulator before the deadline. Have a think about that.

And if that doesn't do it, go back to October 10.

Worst day crypto has ever had. 19 billion gone. 1.6 million traders liquidated. And here's the bit that matters. USDe dropped to 62 cents on Binance while it sat at a dollar everywhere else. Their platform. Their price. People got wiped on a number that wasn't real anywhere but there.

When it mattered most, the platform stalled. People couldn't get filled to get in or out, stops failed and traders got wiped. Liquidity vanished and that was that.

Then they paid out 328 million in compensation and in the same breath said their systems didn't cause it. Right.

I'm not telling you what to do with your coins.

The exchange holding your money matters as much as the tr