Ethena responds to BaFin's ban: USDe minting and redemption services are unaffected, and no assets have been frozen

ChainCatcher news, according to an official statement from Ethena, the German Federal Financial Supervisory Authority (BaFin) has notified its Frankfurt-based entity Ethena GmbH that its MiCAR (Markets in Crypto-Assets Regulation) compliance application will not be approved. However, Ethena emphasizes that this decision will not affect the current listing status of USDe on exchanges, nor the minting and redemption services provided through its British Virgin Islands entity, Ethena (BVI) Limited.

Ethena stated in the announcement that USDe remains fully asset-backed, with no assets being "frozen," and all assets are still available for redemption. The company will revise the relevant terms of service in the coming week to reflect the current changes. This incident will not affect the normal usage process for most users.

Previous news, the Federal Financial Supervisory Authority of Germany announced that it found serious deficiencies in Ethena GmbH's approval process for the USDe token and ordered immediate enforcement measures, prohibiting Ethena GmbH from continuing to offer its USDe token to the public and instructing the company to have custodians freeze the corresponding asset reserves.