Ethena Pay launches Earn+ leveraged vault targeting 12% APY through 11x looped collateral positions with $4.5M initial cap.
DeFi & Yields ·
Ethena Pay launched Earn+ on October 28, 2026, an optional vault product designed to generate up to 12% APY by executing a looped borrowing strategy, according to defiprime.com. The vault supplies $USDe as collateral to Aave v4 on Avalanche, borrows $USDT, repurchases $USDe, and repeats this cycle to achieve approximately 11x leverage. The initial capacity is capped at $4.5 million across all users, with individual deposit limits ranging from $20,000 for Standard members to $200,000 for VIP members. Ethena Pay operates the interface but does not manage or guarantee vault assets; external managers Upshift and Steakhouse oversee the strategy.
Funds allocated to Earn+ are removed from a user's standard USD Account and stop earning the app's Daily Boost. No fees apply to deposits or withdrawals, which the company states are processed within 24 hours, though the FAQ notes delays may occur. The advertised APY is a target rate that can change, and rewards are added to the Earn+ balance daily once opted in. Only existing Ethena Pay users can access the vault; account creation alone does not enroll money into the product.
The strategy's mechanics and Oracle pricing have not been independently verified through contract review. Ethena Pay reserves the right to expand capacity as the $4.5 million limit fills and mentions potential membership tier upgrades shortly, but provides no timeline or size for future increases. Users must accept separate terms and risk disclosures specific to the external operators before participating.