Ethena Labs Withdraws from Germany, Citing MiCA Regulatory Challenges

Ethena Labs has ended its plans to obtain EU authorization for its USDe stablecoin. The crypto startup is ceasing all operations in Germany, including its Ethena GMBH branch, after agreeing with the German financial regulator BaFin to abandon efforts to gain MiCA approval for its USDe token. Despite this agreement, the company’s stabilitycoin will now be issued by Ethena BVI outside of German financial regulations, offering users continued access to the asset. 2025 has been marked with regulatory challenges for stablecoins, and this withdrawal is a reflection of that difficulty