Ethena Tops Earning Charts Among DApps with $6.8M Daily Revenue, Attracts Significant Funding
Summary:
Ethena has emerged as the top-earning decentralized application, surpassing $6.8 million in daily revenue over the past week. It ranks third in revenue generation after Tron and Ethereum, and offers a 67.2% yield on its USDe synthetic dollar to over 350,000 users. Ethena Labs, which launched the USDe on the public mainnet in mid-February, recently secured $14 million in funding for its synthetic dollar, backed by venture capital firm Dragonfly and others.
Ethena has skyrocketed to become the leading earning decentralized application (DApp), exceeding $6.8 million in cumulative daily earnings over the past week, as reported by Seraphim Czecker, Ethena Labs' growth lead, on March 8. The only two blockchains that generated more revenue than Ethena were Tron, recording $38.6 million, and Ethereum, amassing $182.5 million in daily cumulative income over the same period.
Presently, Ethena provides a 67.2% return on its USDe synthetic dollar, available to its 350,000-plus user base, as stated on their homepage. Ethena's USDe market cap has surged 43% in the past week and skyrocketed 409% in the previous month, reaching $840 million, DefiLlama data reveals.
Ethena Labs rolled out its USDe synthetic dollar on the public mainnet on Feb. 19, stirring concern among investors. The Ethereum-based synthetic dollar was introduced with a 27.6% annual percentage return (APR), significantly higher than the 20% return offered by the Anchor Protocol on Terra's UST before Terra's May 2022 implosion.
Guy Young, Ethena Labs' founder, noted in an exclusive interview with Cointelegraph on Feb. 22 that the initial apprehension regarding USDe’s yield reflects an evolving industry adapting to the fallout from the Terra Luna ecosystem's collapse.
In contrast to the defunct Anchor Protocol, the yield on USDe is publicly verifiable because it stems from staking returns and shorting Ether perpetual future contracts, Young pointed out to Cointelegraph.
Ethena Labs secured $14 million in funding for its synthetic dollar, as revealed on Feb. 16. The funding round saw participation from venture capital firm Dragonfly. In an earlier funding round in 2023, the startup raised $6 million, backed by Binance Labs, Gemini, Bybit, Mirana Ventures, OKX Ventures, and Deribit. A related report states that Pantera has initiated a fundraiser to purchase $250 million worth of SOL from FTX estate.
Published At
3/8/2024 3:21:23 PM
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