Ethena Expands Collateral Options for USDe, Adds BNB as First Eligible Asset

Ethena’s Risk Committee has unveiled a new “Eligible Asset Framework,” a move designed to broaden the range of collateral assets that can be used to support USDe, the protocol’s synthetic dollar stablecoin. Notably, the committee aims to generally identify, evaluate, and manage risk within the ecosystem.

The framework marks a significant step toward diversifying the backing of USDe, particularly in relation to the perpetual futures portion of its collateral model.

BNB as First Asset Under New Framework

As part of the latest structure, the Ethena committee has approved Binance Coin, BNB, as the first additional asset eligible to back USDe. The approval signals Ethena’s intent to reduce reliance on a narrow set of assets and introduce a more flexible, resilient collateral system.

By introducing BNB, Ethena is not only tapping into one of the largest and most liquid assets in the crypto ecosystem but also demonstrating a commitment to expanding support for assets beyond Ethereum-based instruments. This diversification strategy could help strengthen USDe’s stability and enhance its adoption across different segments of the crypto market.

The introduction of the Eligible Asset Framework reflects Ethena’s continued focus on risk management and long-term sustainability. Allowing a wider set of assets to contribute to USDe’s collateral base may improve resilience against market volatility, while also creating opportunities for deeper integration with major blockchain ecosystems.

With BNB now approved as the first asset under this framework, the committee is expected to evaluate additional tokens over time, potentially opening the door for further collateral expansion and cross-chain adoption of USDe.

Interestingly, the new development comes as BNB recently reached an all-time high (ATH) of over $881, just days after hitting a peak of $850 on July 28. At the time of writing, the asset was changing hands at $848.08, down from its recent highs, according to data from CoinGecko.

Ethena Approves XRP & HYPE

Under the new framework, XRP and HYPE are also part of the approved assets. According to the committee, these assets meet the given criteria, such as open interest, and are approved from a risk perspective. However, being approved by the committee does not guarantee onboarding.

The latest announcement had no positive impact on the prices of both XRP and HYPE due to the broader crypto market decline over the past week. As of now, XRP trades at $2.82, representing a 3% decline, while HYPE is currently trading at $41.31.

As selected eligible assets are onboarded shortly, the Ethena Risk Committee will provide updates on these assets. While the latest development unfolds, an X user noted that a clear rule is significant for a faster and smoother onboarding. Another user suggested that Ethena Labs should file for an exchange-traded fund (ETF).

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