Rising Aave borrow rates threaten to flip Ethena’s USDe yield loops into negative carry
LlamaRisk has proposed growing borrowing prices for Ethena’s USDe throughout 5 Aave V3 markets, tightening the economics for positions that borrow the stablecoin and recycle it into yield-bearing sUSDe. The Sept. 9 recommendation would improve USDe’s base variable borrow charge from 5% to 6% on Core, Plasma, Monad, Mantle, and Avalanche. It would additionally cut…
