Ethena Pay's Earn+ uses 11x leverage with an oracle blind spot on USDe
- —Earn+ runs through Upshift and Steakhouse on Aave v4 on Avalanche at about 11x leverage
- —The USDe oracle follows USDT, masking USDe discounts in collateral valuation
- —A 2% USDe discount costs an 11x position 22% of initial equity
- —Caps are $4.5 million overall, $20,000 for Standard and $200,000 for VIP users
Why it matters: High leverage paired with a USDT-tracking oracle can hide real losses from depositors until they try to exit.
Source: CryptoSlate