Proposal: Listing sUSDe and USDe on Venus BNB Core Pool

[ethenalabs]

Summary

This proposal seeks to approve a time-sensitive listing of USDe and sUSDe in the Venus Core Pool on BNB. Ethena aims to use Venus as its main money market for its ongoing push onto BSC. Adding USDe and sUSDe to the market will improve options for Venus and BSC users, and will potentially bring increased borrow demand.

Context

Ethena is undergoing an ongoing push of its core product line to BNB Chain.

USDe has grown to be one of the largest dollar-denominated assets in crypto, with over $5.3 billion in supply as of this protocol’s writing. USDe is crypto-collateralized with exogenous collateral, with transparency data found here. Since launch in early 2024, USDe has grown to be one of the most well-integrated assets in DeFi, with deep connectivity in apps like Pendle, Curve, Maker/Sky, Aave, and Morpho.

Ethena is looking to bring USDe to BNB Chain, along with sUSDe, the staked variant of USDe. Venus will be Ethena’s money market partner for the BNB Chain push.

Through its rewards program, Ethena will be providing points to users of USDe and sUSDe on Venus.

Details

Ethena website

Ethena Twitter/X account

USDe contract

sUSDe contract

Ethena documentation

Ethena audits

Risk Parameters

In collaboration with partners, over $5m each of sUSDe-USDe and USDe-USDT liquidity will be seeded against PancakeSwap v3 pools. The pools are already live, and can be found here: sUSDe-USDe and USDe-USDT.

Redstone will also be launching USDe and sUSDe price oracles shortly, and will be updated in this thread upon the point of their launch.

Due to the time sensitive nature of this deployment, Ethena is seeking the optimistic approval of these two assets with 0 borrow cap and 0% CF to ensure Venus protocol safety, with parameters on the borrow side to be determined by Chaos Labs without an additional VIP in the days after Ethena’s official rollout onto BNB Chain in the coming week.

[mopgawka]

unequivocally USDe and sUSDe are gaining popularity among defi enthusiasts.
in my humble opinion, such assets should be thoroughly checked for potential risks in order to minimize any damage.

[Masala]

I think listing USDe and sUSDe on Venus is a great step. I’m quite curious to know how Ethena Labs plans to promote this partnership and bring more users to supply and borrow USDe and sUSDe on Venus protocol. Also, in case there’s a depeg and it causes bad debt on Venus, would Ethena be responsible for any sort of compensation?

[Frayst]

Very supportive of this proposal, especially in Core Pool. Let’s vote it

[Tomm]

This is a good proposal. I hope you can explain it in more detail, such as how much initial liquidity and incentive rewards Ethena Labs will provide…

[chaoslabs]

Overview

Chaos Labs supports listing sUSDe and USDe on Venus’s BNB Chain Core pool. Below we provide our analysis and recommendations.

(s)USDe

sUSDe is one of the most popular collateral assets in DeFi and is already deployed on Venus’s Ethereum Ethena pool. USDe is the unstaked version of sUSDe, not accruing yield in its price and thus not as popular a collateral asset, though there is observed demand to borrow it. Our prior recommendation for such assets is linked here, with a comprehensive overview of associated risks with such an integration.

Market Cap and Liquidity on BNB Chain

Both sUSDe and USDe were deployed on BNB Chain on March 11, 2024, though they did not register any significant supply until April 2025, increasing rapidly to over $18M combined.

Their on-chain liquidity is largely limited to two PancakeSwap pools: USDT/USDe and sUSDe/USDe. This means, in order to complete an sUSDe to USDT swap, a trade would likely be routed through both pools, putting sUSDe’s liquidity in a somewhat riskier position than USDe’s, which is paired directly with USDT.

The amount of liquidity on BNB Chain has not increased since the pools were first created; the amount of USDT pooled has decreased as a result of swaps.

Listing Parameters

These assets will be listed in the Core pool to grant them access to liquidity. It is expected that sUSDe will primarily be utilized as collateral against stablecoins, while USDe will serve as the borrowed asset. However, given that they will be listed alongside uncorrelated assets, we recommend applying more conservative collateral parameters than those typically preferred by leveraged users. Specifically, we propose setting the Collateral Factor for both assets at 75%.

Due to minimal integration with aggregators and a limited number of liquidity pools, these assets currently cannot be efficiently swapped. As a result, we recommend setting the supply caps equal to the total amount of USDT paired with USDe, effectively representing the available exit liquidity.

For USDe, we recommend setting its borrow cap in line with the Kink point on its interest rate curve. Given its limited use cases, we do not recommend enabling borrowing for sUSDe. Lastly, we advise aligning USDe’s interest rate curve with those of other stablecoins for consistency and risk parity.

Pricing

We recommend utilizing the Chainlink feeds: USDe/USD for USDe, and USDe/USD multiplied by sUSDe/USDe for sUSDe.

Specification

Parameter	Value	Value
Asset	sUSDe	USDe
Chain	BNB Chain	BNB Chain
Pool	Core	Core
Collateral Factor	75.00%	75.00%
Supply Cap	2,000,000	2,000,000
Borrow Cap	-	1,600,000
Kink	-	80%
Base	-	0.0
Multiplier	-	0.075
Jump Multiplier	-	0.5
Reserve Factor	-	25.00%

Disclaimer

Chaos Labs has not been compensated by any third party for publishing this recommendation.

Copyright

Copyright and related rights waived via CC0