BaFin Prohibits Ethena GmbH from Offering USDe in Germany

BaFin has prohibited Ethena GmbH from providing USDe due to significant deficiencies in its approval process. Ethena Labs guarantees that USDe can still be redeemed worldwide via its entity based in the British Virgin Islands. This critical decision originates from the German financial authority, BaFin, which has recently enforced the ban on Ethena GmbH, a branch of the Germany-based Ethena Labs. What is the primary reason? Significant shortcomings in the consent processes. As a result of this decision, Ethena GmbH is prohibited from publicly providing the USDe stablecoin within the nation. In response, Ethena Labs promptly clarified that this restriction does not impact the global processes of minting or redeeming USDe. Minting and redemption processes can continue to operate as usual through Ethena (BVI) Limited, located in the British Virgin Islands. Since its establishment, Ethena has been investigating different options and regulatory landscapes worldwide that would be beneficial for our operations. Consequently, we have several entities in our framework that support minting and redemption activities. A MiCAR… — Ethena Labs (@ethena_labs) March 21, 2025. For users familiar with minting USDe on the platform, there are no significant alterations.