Derived from RBC, the market capitalization of Ethena's synthetic stablecoin USDe fell more than 50% to $6.3 billion by December 24, 2025, following the record crypto market crash on October 10. The collapse triggered a loss of investor confidence in its delta-neutral collateral model, which uses long and short BTC positions instead of dollar-backed assets. Analysts from 10x Research noted that the decline was the largest among stablecoins in 2025, while other major stablecoins saw only minor dips. USDe, the fourth-largest stablecoin, had reached a peak of $14.8 billion in early October before the crash. The native token of Ethena, ENA, also dropped 60% in October, closing at $0.2 by December 24.
Ethena's USDe Stablecoin Loses Over Half Its Value After October Crypto Crash
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Summary
Ethena's USDe stablecoin lost over half its value in the wake of the October crypto market crash, with its market cap dropping to $6.3 billion by December 24, 2025. The token, which relies on a delta-neutral model using BTC positions, faced a sharp decline in investor trust. Analysts noted the drop was the worst among stablecoins in 2025, as USDe fell from a peak of $14.8 billion in early October. The crypto market update shows Ethena’s native token, ENA, also lost 60% of its value in October, closing at $0.2 by year-end.
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