Ethena issued $1.5B in USDtb stablecoins below the GENIUS Act, which established clear regulatory frameworks for blockchain-based monetary devices. The laws classifies sure stablecoins as non-securities in the event that they meet reserve and transparency necessities, eradicating authorized ambiguity that beforehand hindered large-scale deployments. Anchorage Digital’s involvement as issuer offered institutional-grade custody, satisfying compliance considerations.
The GENIUS Act represents a broader U.S. regulatory shift that JPMorgan credit for $60B in crypto inflows year-to-date. By creating predictable guidelines, it enabled conventional finance gamers to take part confidently—evidenced by Ethena’s partnership with established corporations like Kalshi for prediction markets. This contrasts with punitive proposals like JPMorgan’s data-access charges, which trade teams efficiently lobbied towards.
Ethena’s transfer alerts rising institutional demand for yield-generating stablecoin methods in DeFi. Nevertheless, the stablecoin’s success hinges on sustaining its peg throughout market stress, particularly after incidents like TerraUSD’s collapse. Regulators will scrutinize reserve audits carefully, as additional readability might speed up related large-scale deployments from rivals.
This text is for informational functions solely and doesn’t represent monetary recommendation. Please conduct your personal analysis earlier than making any funding selections.
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Editor-in-Chief / Coin Push Dean is a crypto fanatic primarily based in Amsterdam, the place he follows each twist and switch on the planet of cryptocurrencies and Web3.