What is USDe? A Complete Guide

What is USDe?

Ethena's digital dollar, USDe, provides the crypto-native, scalable solution for money achieved by delta-hedging Bitcoin, Ethereum and other governance-approved spot assets using perpetual and deliverable futures contracts, as well as holding liquid stables such as USDC and USDT.

This model allows USDe to exist entirely within the digital asset ecosystem, fully crypto-native, fully transparent, and free from the banking system’s constraints.

How USDe achieves stability

Ethena’s system achieves stability through a process called delta-neutral hedging. When onboarded users mint USDe by depositing assets like USDC or USDT, Ethena purchases the spot asset and creates delta offsetting short positions in the derivatives market. The goal is to neutralize exposure to price volatility, keeping USDe’s value stable regardless of whether the market moves up or down.

How USDe differs from USDT and USDC

USDT and USDC are fiat-backed stablecoins. They derive stability from cash or Treasury reserves held by centralized issuers. By contrast, USDe is crypto-collateralized.

The growing adoption of digital dollars

The rise of digital dollars like USDe reflects a shift in trader behavior. As on-chain markets mature, users increasingly expect more productive assets.

For active traders, this means collateral that grows in value while in use with partners. For passive holders, it means idle balances that still accrue returns with partners.

In meeting these evolving needs, digital dollars are becoming a foundational layer of modern crypto market infrastructure.

How to get USDe on Flipster

There are two ways to get USDe on Flipster: mint or deposit.

1. Mint USDe

You can mint USDe directly with your existing USDT or USDC.

• Minimum mint amount: 1,000

• Maximum mint amount: 200,000

1. Select “USDe” and click “Mint”

2. Enter the amount of USDe you want to mint using USDT or USDC

3. Review the transaction details and click “Confirm” to initiate minting

Minting transactions typically process within 30 minutes, though timing may vary depending on network conditions. During high congestion, processing may take longer.

All quotes for minting on Flipster include both the 0.07% service fee and variable gas costs.

2. Deposit USDe

If you already hold USDe in an external wallet, you can deposit it directly to your Flipster account.

1. Go to “Assets” → “Deposit”

2. Select USDe

3. Copy the deposit address or scan the QR code

4. Paste the address into your external wallet and complete the transaction

How to trade and earn APR simultaneously

One of the key advantages of USDe Earn on Flipster is the ability to trade and earn at the same time.

When you select Cross Margin mode, USDe (alongside other supported assets such as BTC, ETH, USDT, and USDC) can serve as multi-asset collateral for perpetual trading. While in use, your USDe continues to accrue APR rewards.

This dual functionality gives you maximum capital efficiency, allowing you to maintain open positions while your funds stay productive.

1. Go to the order form and switch to “Cross Margin”

2. Trade any perpetuals using USDe as collateral

3. Earn APR rewards while trading; view your rewards in Earn History

Why it matters for the future of stablecoins

USDe’s growth signals a broader rethinking of what a stablecoin should be. Rather than passively holding fiat reserves, emerging stablecoins are being designed to integrate yield, transparency, and programmability. This allows each token to function as a building block within a self-sustaining financial system.

With Ethena’s model gaining adoption, USDe may become a blueprint for how value stability and differing backing models can coexist in decentralized markets.