Ethena USDe has topped $11.7 billion in supply and the Ethena risk committee has signaled that XRP meets liquidity and market-depth criteria to be accepted as USDe collateral, potentially turning XRP into a major backbone for stablecoin reserves.
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USDe surpasses $11.7B: Ethena is now one of the largest dollar-pegged systems.
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XRP meets the approval checklist: >$1B open interest, >$100M daily volume, deep order books.
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Ethena yields and revenue: hundreds of millions minted weekly and $500M total interest revenue.
Ethena USDe: XRP eyed as collateral after USDe tops $11.7B. Read approval criteria, liquidity metrics, and impact on stablecoin infrastructure.
What is Ethena USDe and why does XRP matter?
Ethena USDe is a dollar-pegged token whose supply recently exceeded $11.7 billion. The Ethena risk committee now indicates XRP satisfies strict liquidity and depth criteria to be added as USDe collateral, which could repurpose XRP from settlement rails to stablecoin backing.
How does Ethena decide which assets qualify as collateral?
Ethena applies a checklist requiring more than $1 billion in open interest, daily trading volumes above $100 million, and sufficiently deep order books to handle large trades without significant slippage. BNB was approved recently; XRP has been signaled as the next candidate after meeting those liquidity and market-depth thresholds.
Why does XRP meet Ethena’s collateral checklist?
XRP currently trades around $2.80 with a market capitalization near $166 billion and reported daily turnover exceeding $5 billion across exchanges. Those liquidity metrics align with Ethena’s strict thresholds, meaning XRP can absorb sizable positions without destabilizing markets — a key requirement for stablecoin collateral.
What are the implications if XRP is added as USDe collateral?
Adding XRP as collateral would give the token a major use-case within the stablecoin infrastructure, redirecting part of its role from hypothetical banking rails to active reserve support. For Ethena, additional collateral diversity strengthens reserve depth and could support continued minting at current rates and yield distributions.
Frequently Asked Questions
How big is Ethena’s revenue from USDe operations?
Ethena has recorded roughly $500 million in total interest revenue to date, including about $13.4 million accrued in the most recent week, reflecting strong demand for staking and lending within the USDe ecosystem.
Does XRP’s adoption as collateral affect its price?
Institutional demand for collateral can increase buying pressure, but price impacts depend on the pace of on-chain adoption and market liquidity. XRP’s existing market cap and daily turnover suggest the market could absorb additional demand without extreme volatility.
Key Takeaways
- USDe scale: Ethena’s USDe supply exceeds $11.7B, making it one of the largest dollar-pegged systems.
- XRP eligibility: XRP meets required liquidity metrics — >$1B open interest and >$100M daily volume — to qualify as collateral.
- System impact: Inclusion of XRP would diversify USDe reserves and could strengthen stablecoin infrastructure while providing a large-scale use case for XRP holders.
How are assets operationally integrated as collateral for USDe?
Integration follows a multi-step operational process to ensure reliability and risk controls. The process prioritizes market liquidity, oracle reliability, and risk parameters before assets are approved for minting and staking operations.
Conclusion
Ethena’s USDe has scaled rapidly to $11.7 billion in supply and the risk committee’s nod toward XRP as potential collateral signals a shift in how major crypto assets are used within stablecoin systems. Expect further operational checks, but the move highlights stablecoins’ evolving infrastructure and liquidity-driven asset roles. For ongoing updates, follow COINOTAG coverage and official Ethena announcements.
