How Ethena Plans to Scale in 2026 Ethena has already launched two successful products - USDe and USDtb. As the project expanded, the team identified a key problem in today’s stablecoin landscape: profit extraction by centralized issuers like Tether and Circle. These companies earn billions in yield by deploying user capital into US bonds - effectively monetizing liquidity that originates from the crypto ecosystem itself. It’s a classic Web2 story - but it doesn’t belong in Web3. Recognizing this imbalance, @ethena_labs decided to rethink the very concept of stablecoins. Their new approach is simple yet transformative: “Every network, dApp, or DeFi protocol should be able to issue its own stablecoin - and profit from it.” ------------ Redirecting Capital Flow Back to Web3 Tether and Circle collectively generate tens of billions in annual profits from yield on US bonds. But none of that value circulates back into the Web3 ecosystem. Instead, it’s siphoned off to traditional financial institutions. Now imagine if that same yield stayed within crypto - powering the growth of decentralized ecosystems. The impact would be enormous: - Token buybacks for dApps and DeFi protocols - Funding for ecosystem development across L1 and L2 networks - Grants, accelerators, and incubators for new projects - Revenue sharing with token holders and community members In short, capital would stop enriching Web2 intermediaries and start fueling Web3 innovation The irony of today’s crypto industry is that its most profitable players aren’t onchain at all. Companies like Tether, Circle, and major centralized platforms are reaping massive profits - often from liquidity provided by Web3 users and projects themselves. This structure suppresses organic growth across the decentralized economy. ---------------- Ethena’s Solution: Stablecoin-as-a-Service To challenge this monopoly, Ethena introduced a groundbreaking product: - Stablecoin-as-a-Service. This model enables any network, dApp, or protocol to issue a native stablecoin using Ethena’s infrastructure. The stablecoin’s underlying yield flows back to the issuer - not to a centralized custodian - allowing projects to reinvest that value into their own ecosystems, grants, liquidity programs, or community rewards. Early demand has been remarkable. Several Tier-1 projects have already confirmed plans to launch their own stablecoins through Ethena’s system, including: 1. MegaETH 2. Jupiter 3. Sui As more projects witness the performance and yield of these decentralized stablecoins, adoption is expected to accelerate exponentially. Ethena’s initiative embodies the spirit of Web3 - redistributing power and value away from centralized incumbents. By offering a scalable, yield-generating stablecoin infrastructure, Ethena is setting the stage for a new era in decentralized finance - one where profits flow back to the builders, users, and networks that create real value. A major precedent is forming before our eyes - and it could redefine how liquidity, yield, and growth circulate across the crypto economy. ====================================== If you liked the research, plz like/retweet and follow to @Eugene_Bulltime And follow on strong visioners and analysts: @BREAD_ @poopmandefi @DoggfatherCrew @DefiIgnas @Defi_Warhol @Moomsxxx @stacy_muur @hmalviya9 @Mars_DeFi @rektdiomedes @eli5_defi @MacroMate8 @JayLovesPotato @Steve_4P @TheDeFinvestor @0xCheeezzyyyy @arndxt_xo @Jonasoeth