Ethena Launches Avalanche-Based Ethena Pay Beta With Up to 6% Yield on USDe
Summary
- Ethena launched a beta version of Ethena Pay, an Avalanche-based payments app, offering USDe holders yields of up to 6% annually.
- Ethena Pay is rolling out in 48 countries, with the US, EU and South Korea excluded, and will expand later based on regulatory requirements.
- The service offers tier-based benefits including USDe balance limits, annual yields of 5% to 6%, and AVAX cashback of up to 10%.
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Ethena has launched a beta version of Ethena Pay, a payments app built on Avalanche. Users can hold USDe and earn as much as 6% annually, while some purchases qualify for cashback of up to 10%.
The Block reported on September 1 that Ethena Labs began offering the Ethena Pay beta in 48 countries. The initial rollout excludes the US, the European Union and South Korea. The company plans to add those markets later, subject to local regulatory requirements.
Ethena Pay is a self-custody finance app that allows users to hold USDe like a dollar balance. Funds deposited from a bank account or in cryptocurrency are converted into USDe. Transfers to external bank accounts are settled in the recipient's local currency.
The membership program has three tiers: Standard, Pro and VIP. Standard users can earn 5% annually on balances of up to $5,000. Pro and VIP users can earn 6% annually on balances of up to $15,000 and $50,000, respectively.
The service also includes a payment card. Base cashback ranges from 4% to 5%, depending on the membership tier, and is paid in Avalanche's AVAX token. At select brands including Uber, Spotify and Claude, Pro users can receive up to 5% in additional cashback, while VIP users can receive up to 10%.
"Traditional financial services are split between fiat and the crypto ecosystem," Ethena founder Guy Young said. He added that Ethena Pay is designed to connect digital assets with everyday financial activity.
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.