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Ethena

avoid.net/ethena→58/100·72% conf.
[VERIFIED][src:etherscan][src:zachxbt][airdrop][bafin][custodial-risk][defi][delta-neutral][depeg][discord-hack][domain-hack][ethereum][exchange-risk][funding-rate-risk][insider-farming][mica][perpetual-futures][perpetuals][regulatory][sec][stablecoin][synthetic][synthetic-dollar][yield-bearing]

Auto-generated score, not yet verified against the scoring model. Under review — treat as indicative, not a verdict.

anchored·2UCvU5…xrsy

Summary

Ethena is a DeFi protocol founded in 2023 by Guy Young that issues USDe, a synthetic dollar stablecoin backed by delta-neutral perpetual futures hedges on centralized exchanges. The protocol reached $14 billion in supply at its 2025 peak before contracting sharply to approximately $5.9 billion following a flash crash in October 2025 and BaFin's enforcement action that forced Ethena GmbH to cease EU operations. Multiple concerns have been raised including: a German regulatory shutdown citing MiCA breaches and alleged unregistered securities offerings via sUSDe; insider airdrop farming allegations involving 180 million foundation-controlled ENA tokens; two separate security incidents (Discord hack July 2024 and domain registrar compromise September 2024); and structural risks tied to funding rate volatility, exchange counterparty exposure, and an undersized reserve fund relative to protocol TVL.

Connected Entities

10 entities · 60 linked investigations
Organizations
□Ethena55□Ethereum64□Deribit72□Binance45□Pendle50□Terra/Luna2□luna5□ZachXBT82
Protocols
⌂Anchor Protocol4
Tokens
♦Coinbase62
Relationships
  • Deribit→mentioned with→Coinbase(70%)
  • Ethereum→mentioned with→Coinbase(60%)
  • Ethena→mentioned with→Ethereum(75%)
  • ZachXBT→mentioned with→Ethereum(70%)
  • ZachXBT→mentioned with→Binance(60%)
  • Binance→mentioned with→Ethereum(65%)
  • Ethena→mentioned with→luna(60%)
  • luna→mentioned with→Ethereum(60%)
  • Ethena→mentioned with→Coinbase(60%)
  • Ethena→mentioned with→Deribit(60%)
  • + 13 more
Also appears in
Terra/Luna·2Anchor Protocol·4Deribit·72Ethereum·64Lendf.me·30Levyathan·18Jump Trading·42OpenZeppelin AI Exploit Threat Vector·15StableMagnet·2Shibarium·28+ 50 more

Connected Through

10 shared actors · 617 investigations

Distinct actors this investigation shares with others — holders, traders, and named parties. Shared infrastructure (exchanges, pools) is excluded.

Have evidence about Ethena?

Timeline(12 events)

January 2023

Ethena Labs founded by Guy Young, former Cerberus Capital Management professional, with vision of a delta-neutral synthetic dollar protocol.

IQ.wiki / Traders Union - Guy Young Biography

February 2024

Ethena raises $14 million in strategic funding round co-led by Arthur Hayes' family office Maelstrom and Dragonfly, at a $300 million valuation. Additional backers include Franklin Templeton, Galaxy Digital, and Binance Labs.

CoinDesk - Ether-Based Crypto Dollar Issuer Ethena Raises $14M

March 2024

USDe and ENA governance token launch publicly on Ethereum mainnet. Airdrop of ENA tokens distributed to early protocol participants.

Ethena Labs Official

July 2024

Ethena's Discord server hacked. ZachXBT and other on-chain investigators warn users not to click any links on the server. Phishing links posted by attacker under guise of token bonus offers.

Bitget News - ZachXBT Alert

July 2024

Ethena GmbH applies for MiCA authorization with BaFin in Germany on July 29, 2024, allowing continued USDe issuance under a transitional provision during the review period.

BaFin Official Notice - April 15 2025

September 2024

Ethena's domain registrar account compromised on September 18, 2024. Front-end website subjected to exploit. Ethena Labs deactivates website. Blockaid warns users who connected wallets during the exploit window.

The Block - Ethena Labs Temporarily Shutters Frontend Website

October 2024

Crypto investigator Nomad alleges Ethena Labs misused 180 million ENA tokens during Season 3 farming event, with six foundation-linked wallets allegedly controlling 25% of staked ENA and capturing 20% of community Ethereal points. Ethena founder Guy Young denies misuse, citing vesting schedule compliance. Nomad subsequently retracts initial claims.

Crypto Times - Ethena Labs Accused of Misusing 180M ENA Tokens

December 2024

Ethena raises $100 million via private ENA token sale from Franklin Templeton, Polychain, Pantera, Dragonfly, and F-Prime Capital to fund Ethena Chain development and institutional product launch.

The Block - Ethena $100M private ENA token sale

March 2025

BaFin imposes initial supervisory measures on Ethena GmbH on March 21, 2025 after identifying serious deficiencies in compliance with MiCAR. Ethena GmbH forced to pause all USDe mint and redeem functions.

BaFin Official Notice - Prohibition of New USDe Business

April 2025

BaFin imposes EUR 600,000 coercive fine on April 4 and issues formal winding-up order on April 14, 2025 against Ethena GmbH. Company withdraws MiCA application on April 3, triggering loss of EU operating rights. BaFin separately suspects sUSDe constitutes an unregistered securities offering.

BaFin Official Notice - Winding-Up Order

October 2025

October 10-11 flash crash wipes out $19 billion in leveraged positions — largest single-day deleveraging in crypto history. USDe briefly trades as low as $0.65 on Binance due to absence of direct mint/redeem dealer relationship; broader market shows brief $0.97 depeg that recovers within hours. USDe supply contracts from ~$14B peak to ~$8.3B.

CoinDesk - Ethena USDe Briefly Loses Peg During $19B Liquidation Cascade

March 2026

USDe circulating supply sits at approximately $5.92 billion as of mid-Q1 2026, down from ~$14B peak. Protocol revenue fell 32% QoQ to $65.06 million. Daily Active Users decline to approximately 1,200, lowest since December 2024.

Ethena USDe Q1 2026 Report - Stablecoin Insider
Provenance & Audit Trail
Anchored on SolanaVerify on-chainsrc:etherscansrc:zachxbt

Decision Log

This investigation is cryptographically anchored to the Solana blockchain (3 events).

full audit log →version history →

model: claude-sonnet-4-6

generated: 5/4/2026, 4:04:58 PM

last updated: 6/14/2026, 11:16:00 PM

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