Ethena Labs, BaFin Finalize USDe Redemption Plan After Regulatory Crackdown
Ethena Labs and the German Federal Financial Supervisory Authority (BaFin) have established a redemption plan for USDe stablecoin holders. A 42-day redemption process has been initiated, allowing holders to declare claims against Ethena GmbH until August 6. After this date, Ethena GmbH will be officially wound up in Germany, the EU, and the EEA, with claims post-August 7 directed to Ethena (BVI) Ltd. BaFin's actions conclude a four-month conflict, during which it barred Ethena GmbH from offering USDe due to violations of the EU’s Markets in Crypto-Assets Regulation (MiCA). The regulator accused Ethena of selling unregistered securities and enforced sanctions, including freezing assets and halting services. Ethena Labs ceased operations of its German subsidiary on April 15 and did not pursue MiCA authorization in Germany. Ethena GmbH's application for MiCA authorization was rejected in March due to compliance issues. Approximately 5.6 billion USDe tokens remain in circulation globally.
