The decentralized financial protocol (DEFI) Ethena has agreed to drop its operations in Germany.
The decision arrived three weeks after Bafin, the German financial regulator, identified the “serious deficiency” of the USDE token of Etherna and said the company was offering security in Germany without approved.
“We agree with Bafin to overthrow all Ethhena GMBH activities and will no longer pursue Micar permission in Germany,” Ethena said in a tweet.
It added that all previous users were onboarded with Etherna BVI, the protocol’s creature in the British Virgin Islands.
Ethhena is the protocol that generates yield of $ 4.9 billion in total amount locked (TVL). The USDE token is called a “synthetic dollar” and is supported by Bitcoin (BTC), Ether (ETH) and other cryptocurrencies.
Ethena’s ENA token dropped 2.88% in the past 24 hours, underperforming against a broader market of up to 1.17%, according to CoinMarketCap.
