Overview

• USDe fell to $0.65 on Binance during a roughly $19 billion crypto liquidation that reports linked to President Donald Trump’s new China tariff announcement, then recovered toward $1.
• Ethena stated that USDe remained overcollateralized and operational through the event, citing uPNL from short derivatives positions that the team says benefits the protocol.
• Following extra disclosures, third-party proof-of-reserves attestations were reported to show roughly $66 million in excess collateral backing USDe.
• Ethena’s ENA token plunged as much as 40% during the sell-off and remains volatile, with analysts watching the $0.43–$0.37 support range even as price attempts a rebound.
• Market signals diverged as on-chain data showed about $1.25 billion in TVL outflows while spot buyers accumulated roughly $4.6 million of ENA on Oct. 11, and Binance said it is reviewing liquidations and potential compensation.