Following the unexpected de-pegging of USDe to $0.65, Ethena has released a detailed emergency reserve report. This drop raised concerns about the protocol’s stability and prompted market disruptions. The report reveals Ethena maintains a robust reserve fund despite recent volatility, providing insights into potential challenges for stablecoin market stability. 18% supply growth in USDe recently contributes to instability. The incident underscored liquidity concerns during volatile periods. Key regulatory hurdles remain as new U.S. and EU stablecoin regulations pose additional risks to cross-border operations, potentially impacting future institutional investment.