Ethena launches Ethena Pay neobank app on Avalanche with up to 6% yield

Sep 1, 2026

Ethena Labs has launched Ethena Pay, a self-custodial neobanking app built exclusively on the Avalanche blockchain. The app integrates Ethena's USDe synthetic dollar directly into consumer payments, offering users up to 6% annual yield on balances and up to 5% cashback paid in AVAX. The beta launched on September 1, 2026, for an initial 400 users across 48 countries, excluding major jurisdictions like the US and EU due to regulatory limits.

Ethena Pay neobank launch

▪Ethena Labs launched the beta of Ethena Pay, a self-custodial neobanking and consumer payments application that uses USDe as its primary dollar balance
▪Ethena Pay combines a self-custodial wallet with money transfers, fiat onramps, and a Visa card issued by Puerto Rico-chartered Third National and managed by Rain
▪The Ethena Pay beta launched on September 1, 2026, with an initial early-access list of 400 users on iOS and Android, with plans to expand access weekly

Avalanche blockchain integration

▪Ava Labs stated that digital-dollar balances in Ethena Pay are held in USDe, allowing users to hold, send, and spend the stablecoin without selecting a blockchain network
▪Ethena Pay is built exclusively on the Avalanche blockchain, which serves as the settlement layer handling transfers, payments, and money movement behind the interface

Tiered membership rewards structure

▪Ethena Pay offers a Standard membership tier that is free and provides a 5% annual yield on balances up to $5,000 alongside 4% cashback on card spending
▪Ethena Pay offers Pro and VIP membership tiers that provide a 6% annual yield on balances up to $15,000 and $50,000, respectively, alongside cashback rates of up to 5%
▪Ethena Pay card cashback is calculated after transactions settle and is paid to users in Avalanche's native AVAX tokens

Global payment transfer features

▪Ethena Pay users can make instant global transfers to other users via username or tag without paying transfer fees
▪Ethena Pay supports free bank transfers for USD, EUR, and GBP, while transfers in other currencies carry fees ranging from 0.05% to 0.1%
▪Ethena Pay features a 'Buy Now Pay Never' option designed to let users cover purchases using their accumulated savings rewards without drawing down their principal balance

ENA token staking utility

▪Following the Ethena Pay announcement on September 1, 2026, Ethena's native ENA token rallied 9% in value
▪Ethena Pay users can unlock the Pro tier by locking $2,000 worth of ENA tokens or referring 10 users, and the VIP tier by locking $10,000 in ENA or referring 50 users

Geographic rollout regulatory limits

▪The Ethena Pay beta launched across 48 countries in Latin America, the Caribbean, Asia, the Middle East, Africa, and Oceania, but excluded the United States, United Kingdom, European Union, and Canada
▪German regulator BaFin ordered Ethena GmbH to wind up its USDe business in June 2025 after the company withdrew its application for authorization under European Union crypto rules