USDe's Market Cap Plummets: From $14.7B Peak to $6.3B Following October's 1011 Crash

DAOdreamer · 2026-01-05T13:38:49+00:00

Ethena's synthetic stablecoin, USDe, has suffered a major market cap decline, dropping from $14.7 billion to approximately $6.3 billion after the October crash, reflecting significant investor concerns about its stability.

DAOdreamer

2026-01-05 13:38:49

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Ethena’s synthetic stablecoin USDe has experienced a dramatic market cap collapse in the aftermath of the October 1011 crash event. According to recent data, this digital asset’s valuation has eroded significantly, with the coin’s market capitalization dropping from approximately $14.7 billion on October 9 to roughly $6.3 billion as of early January 2026.

The Scale of the Decline

The market cap deterioration reflects a staggering $8.3 billion exodus from the platform. What was once a thriving synthetic stablecoin project has seen its value nearly cut in half over just two months, representing one of the most substantial pullbacks in recent crypto history.

Current Market Status

As tracked on CoinMarketCap and other major indices, USDe’s current market cap sits at approximately $6.30 billion. The sharp contraction underscores investor concerns about the stability and resilience of Ethena’s stablecoin offering following the market turbulence that erupted during the 1011 crash event.

What This Means

The scale of capital flight from USDe highlights the volatility inherent in synthetic stablecoin models. As the coin’s market cap continues to represent a fraction of its former peak valuation, questions persist regarding user confidence in Ethena’s ability to maintain price stability amid broader market pressures.

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