Ethena Labs, the developer behind the synthetic dollar protocol USDe, has officially launched its second season airdrop campaign named "Sats." This initiative follows a highly successful first season that concluded on April 1, during which participating users reported substantial annualized returns. The newly introduced Sats campaign is designed to expand reward opportunities by incorporating Bitcoin-based assets and a wider array of supported platforms.
The new season commenced on April 2 and is scheduled to run for five months, concluding on September 2. Alternatively, the campaign will end prematurely if the total supply of USDe reaches $5 billion. This guide provides a comprehensive overview of the Sats campaign, detailing the various methods to accumulate points and maximize potential rewards.
Understanding the Sats Campaign
The second season introduces a key change: reward points are now called "Sats" instead of "Shards." This rebranding reflects Ethena's strategic expansion into Bitcoin-based assets, acknowledging the significant liquidity and potential within the Bitcoin ecosystem. As a delta-neutral synthetic dollar protocol, Ethena can utilize Bitcoin perpetual contracts, which offer an estimated $25 billion in additional open interest—roughly 2.5 times the size of the Ethereum perpetual market.
This broader asset base aims to enhance the stability and scalability of the USDe stablecoin, ultimately providing more robust opportunities for users to earn rewards.
How to Earn Sats
The Sats campaign offers multiple avenues for users to accumulate points across various DeFi platforms. The core principle involves acquiring, holding, and strategically utilizing USDe and its staked derivative, sUSDe. The following sections break down the supported methods and their respective point multipliers.
Directly on Ethena
The native platform offers several straightforward methods to earn Sats:
- Lock USDe: Earn 20x Sats per day.
- Buy and Hold USDe: Earn 5x Sats per day.
- Stake and Hold sUSDe: Earn 2x Sats per day.
It's important to note that Ethena's USDe deposit hard cap is currently set at $600 million, with over $424 million already deposited.
Utilizing Pendle
The Pendle protocol, available on both Ethereum and Mantle networks, offers high-yield opportunities:
- Participating in Pendle YT tokens or providing liquidity (LP) earns 20x Sats per day.
- Holding sUSDe YT or LP tokens yields a lower multiplier of 5x Sats per day.
The deposit limits are $550 million on Ethereum (with ~$452M filled) and $200 million on Mantle (with ~$114M filled).
Providing Liquidity on Curve & Uniswap
Liquidity providers can also earn boosted rewards:
- The Curve liquidity pool currently offers a significant 30x multiplier during the first epoch of Season 2. The pool has a hard cap of $125 million and is nearing full capacity.
- At the launch of the campaign, providing liquidity on Uniswap does not currently offer a Sats multiplier.
Exploring Zircuit & Mito
Two integrated platforms offer additional options:
- Zircuit: This EVM-compatible ZK-Rollup allows users to stake USDe for a 15x Sats multiplier. The deposit cap is $100 million (~$43M filled).
- Mito: A DeFi protocol on the Injective ecosystem, Mito offers a 15x multiplier for staking USDe in its vault. Its deposit cap is $10 million (~$3.8M filled).
Leveraging Gearbox & Morpho
DeFi composability protocols provide advanced strategies:
- On both Gearbox (a leverage protocol) and Morpho (a lending protocol), users can earn 20x Sats by supplying USDe as collateral or for lending.
- Using sUSDe for the same activities on these platforms grants a 5x multiplier.
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Securing a 20% Reward Boost
Participants from the first season’s airdrop are eligible for an additional 20% bonus on all Sats earned in the second season, provided they meet specific conditions:
- They did not unstake, unlock, or sell their USDe holdings from the first season.
- They have increased their total USDe holdings during the second season.
This loyalty reward incentivizes long-term commitment and capital growth within the Ethena ecosystem.
Frequently Asked Questions
What is the main difference between Season 1 and Season 2?
The primary difference is the expansion into Bitcoin-based assets, which is symbolized by the change from "Shards" to "Sats" as the reward points. This aims to tap into Bitcoin's deep liquidity. The list of supported external DeFi platforms has also grown.
When does the Sats campaign end?
The campaign is scheduled to conclude on September 2, 2024. However, it will end immediately if the total supply of the USDe stablecoin reaches $5 billion before that date.
Do I need to use all of these platforms to participate?
No, participation is flexible. You can choose a single method, such as holding USDe directly on Ethena, or combine multiple strategies across different supported protocols to maximize your Sats earnings based on your risk tolerance and DeFi expertise.
What is the advantage of locking USDe versus just holding it?
Locking your USDe on the Ethena platform directly offers the highest multiplier (20x), significantly accelerating your Sats accumulation compared to simply holding it (5x) or staking it for sUSDe (2x).
Is there any risk to participating in these DeFi strategies?
Yes, while offering high rewards, strategies involving external protocols like Pendle, Gearbox, or liquidity pools carry additional smart contract risk, impermanent loss risk (for LPs), and market risk. Always conduct your own research before committing funds.
How do I claim the 20% loyalty bonus?
The bonus is applied automatically if you qualify. You must have participated in Season 1 without removing your initial funds and must increase your USDe position in Season 2. Your dashboard should reflect the bonus earnings.