A look at the market crash on October 10, 2025, and the future of risk-managed pricing strategies for pegged assets like Ethena USDe.

Following a wallet hack at Bybit that raised collateral concerns, Ethena’s risk management kept the protocol secure. Custodial oversight, off-exchange settlements, and reserve funds ensured resilience during market stress.

The V2 methodology used to recommend a safe value for the Ethena Reserve Fund

The methodology used to recommend a safe value for the Ethena Reserve Fund

Additional risk analysis including a model of possible reserve fund decay