ethena pay, a payments app that holds dollar balances in ethena's usde, launched earn+ on october 28. its vault deposits usde on aave v4 on avalanche, borrows usdt and buys more usde again and again. it aims for about 11x leverage and up to 12% apy. if 11x means assets to equity, a full $4.5m cap needs about $45m of usdt debt. that is 2.6x all borrowing on that aave deployment now. aave rates rise as borrowing grows, and at 11x a 1 point rise in usdt cost cuts the yield by about 10 points. so the advertised yield depends on how much usdt liquidity arrives.
