Sky Protocol overtakes Ethena: USD stable coat increases offer despite the bearish market conditions

<p> <strong> Sky Protocol overtakes Ethena: USD stable coat increases offer despite the bearish market conditions </strong> </p>

Sky Protocol: Growth of the synthetic stable coins USD

The Defi Protocol Sky Protocol has increased its range of USD, a synthetic stablecoin, and thus exceeded the offer of Ethenas Usde. Despite the challenges that the Ethereum (ETH) market brings, the protocol grows and demonstrates its resistance in a tense market environment.

offer increase and market dynamics

sky Protocol was able to expand the scope of its synthetic stable coin USD, while Ethena had to reduce its range of Usde due to deteriorated market conditions. These adjustments reflect the changing strategies of protocols, especially in times of decreasing market activity. So far, Usde has dominated the market and at the end of 2024 gave a share of over 46% in the synthetic stable coin market, of which the cryptom market still has $ 228.3 billion in new stable coins.

The adaptation of the Usde offer is a direct reaction to market conditions: in the past few months, the range of over 6 billion tokens has been reduced to 5.4 billion tokens in order to make the protocol ecosystem more robust. Ethena is dependent on financing fees, which entails additional challenges due to the general market development.

Sky Protocol's influence and stability

Sky Protocol, on the other hand, currently has a total of 4.9 billion USDS tokens in circulation, which are still being traded with DAI. The entire supply within the Sky ecosystem is more than 8.4 billion tokens that are distributed to various applications and vaults. The variety of supported protocols and chains has contributed to the fact that USDS has been able to gain in importance beyond Ethereum in recent months.

Despite a decline in the profit rate to 6.5% - tend to be under the previous 12.5% - the interest in USDD remains high. The Sky ecosystem has positioned itself in the top 10 of the Defi projects and could potentially gain influence in the future by expanding USDD.

comparison of the income between Sky Protocol and Etena

Another indicator of the market position of Sky Protocol is the comparison of income with Ethena. While Ethena recorded a decline in weekly income from over 21 million US dollars at around $ 3 million in the first quarter of 2025, Sky Protocol achieved over $ 13 million a weekly fees in December and since then has lasted stable income of over $ 8 million.

The current challenges in the defi sector concern many protocols that fight for attention and liquidity. Although the market for Ethereum itself is under pressure, the MKR-TOKEN shows signs of relaxation and reaches a high of over $ 1,200 for a few weeks.

FAZIT

Sky Protocol and Etena are faced with various challenges in the current market environment. While Sky Protocol is expanding its range of synthetic stable coins and generates stable revenue, Ethena reacts to the deteriorated market conditions with a reduction in his token offer. These developments show the dynamics of the defi sector and the adaptability of the protocols itself.